OD
OD
Organization Development
LEARNING OBJECTIVES
After studying this chapter, you will be able to
. Define organization development (OD)
2. Enumerate the various phases of OD and the conditions for its success
Organization development (OD) has been widely used in recent years as an approach
to introducing planned change in organizations. Several researchers have defined
OD in different ways. Although there are several points of agreement across definitions
special emphases are also reflected in them. The following definition is proposed by
the author': OD is a planned effort initiated by process specialist{s) to help an
organization develop its diagnostic skills, coping capabilities, linkage strategies (in
the form of temporary and semi-permanent systems), and a culture of mutuality.
DEFINITION OF OD
Several important dimensions of OD are contained in the above definition. Some
elaboration of these dimensions may be useful.
Planned effort OD is a planned effort and therefore requires a great deal of
thinking and planning on the part of the OD expert.
OD emphasises the
Linkage strategies building of links between individual goals
nd organizational goals, between individuals who work in the various roles, and
hetween various groups that function in the organization. Problems in the organization
ean be resolved only through collaborative effort. One emphasis of OD, therefore, is
an building such collaboration in the organization. This is done, among other ways,
hy setting up temporary systems such as task forces and by making structural changes
collaboration.
that ensure continuing
Culture and mutuality OD is based on certain values that are important for the
development of organizations as open and proactive systems. OD fosters a set of
sDecific values: openness, confrontation, trust, authenticity, proactivity, autonomy
collaboration, and experimentation (OCTAPACE). Openness implies confronting
problems rather than avoiding them. Confrontation means exploring ways of
improving relationships among individuals and searching for solutions to the problems
the organization faces together. Trust is both the result of these values and an aid to
feel threatened in seeking help from others to cope with problems is an autonomous
because only an autonomous
person. Autonomy involves collaboration and mutuality,
her collaborative initiative as a sign of
person can collaborate and not perceive his or
that individuals
weakness or inferiority. Collaboration is itself emphasised as a value so
Work in teams instead of working independently to solve their problems and develop
commitment to their roles and to the organization.
OPERATIONAL GOALS OF OD
In this respect, OD
he OD approach to change treats the organization as a system.
1s ditferent from action research. While the latter may attempt to tind solutions to a
finally, the most important, the individuals who work in the organization. To
accomplish all this, OD has to work with certain operational goals.
Person The individual is the central entity in OD. Although the goal of OD is to
produce change in the organization, the individual working in the organization is the
most important vehicle of change and hence the best target. The development of
Sell-awareness and self-acceptance is the main goal in working with the individuals in
an organization.
Often, individuals are alienated and OD must focus on their integration into the
organization. It then focuses on the individuals' motivation by helping them to learn
how to set realistic and challenging goals so that they have a sense of satisfaction and
a taste of challenge. This helps individuals develop the skills of planning so that goals
can be divided into smaller, achievable units. OD thus attempts to develop the skills,
knowledge, and ability of individuals.
Interteams Regarding the interface between teams and groups in the organization,
OD aims at developing the ability of teams to manage conflicts and developing
collaboration among them in order to further the attainment of individual and
organizational goals.
Organization The organization is the stable entity that uses the individuals and
the various teams ior the attainment of its goals. OD helps the organization as a
whole in its goal-setting process. It also helps the organization develop internal
resources to carry on the work, which may be started by an outside expert. However,
the new role of an internal OD facilitator is important for the continuing growth or
development of the organization.
NDITIONS
FORTHE SUCCESs OF OD
Be we discuss the various
phases of OD
eoranizations, it may be useful to
programmes and how OD works in
orga consider the various conditions
essful use of OD in an
organization. In the absence of these necessary for
tikely to succeed. One way to create these conditions is to conditions, OD 1s
start an OD
OD may then attempt to create the programme.
conditions are as follows:
preconditions for full-scale OD work. These
Strong linkpins OD can succeed only if what Likert describes as 'linkpins are
strengthened. These are the roles that connect various levels and various parts of the
organization. These roles are extremely important because change can flow through
these key roles and they can become the main media of communication in the
organization. In some organizations, these roles may not be visible and several parts
of the organization may be functioning almost independently of each other, with
only the head of the organization coordinating the various parts. An absence of
strong linkpins is not conducive to the use of OD in the organization.
succeed.
for various reasons, an
consultant In the beginning,
OIvement of external OD effort. He or she not only brings
a successful for that an
consultant is necessary
issues in the organization
a several skill
s e , but is helpful in
confronting
e v e n though
he or she has the
to deal with, certain risks and can
person may find difficult c a n take
An
and external OD
consultant
to do so. An
y
confront the organization to some extent. In due course,, however, the external
and internal members can take over.
consultant withdraws from the organization
is to develop strong
internal resources One of the objectives of OD
Strong
internal resources in the organization, enabling it to continue the work the external
consultant may start. For this, it is necessary that such internal resources are identified
These people should be able to replace the external consultant. Such a replacemert
has to be properly phased so that there is an overlapping between the external
consultant and the internal facilitator. In organizations where such people have been
identified and developed, OD efforts are stabilised and the organization is able to
continue to develop along the lines laid down by the consultant.
Interviewing key persons The consultant collects information not only through a
general survey and reading of the available material but also through interviews with
those who determine the culture of the
organization. The main purposes or
interviewing these key people is to understand their value systems and the various
roles in the organization and to
develop a shared understanding about mainly two
things: first, the assumptions which they are operating and performing their roles
on
and second, the chief actors in the
to understand the
organization. It is necessary for the organization
assumptions on which the consultant will
operate and for the
consultant to understand how the chief
people
helps to develop a healthy relationship between
in the organization
operate. This
the consultant and these
key people.
Organizati Development 761
a impse of
glimpse of the
Dr process
etting The
look inside the OD
process. consultant may also have
One useful
to
s
of
meetings of
people,
top in the way to
do this is to sit
an
opportunity
agrs and the
organization as well
as some
other
in on a few
way difterences are voiced
in
in me
sight tha
more insight than an interview can. It and resolved groups. Discussions
may therefore be useful sometimes give much
nnOrtunity to observe the
dynamics of the interactional for consultants to find
process.
Making a presentation on the OD approach
arcanization, the consultant makes a Finally, before OD is taken up in
volves. The presentation may be made topresentation
the top
on what OD is
and what it
hey have an opportunity to ask questions and raisepeople in the organization so that
doubts. Such a meeting is
11Seful to allay any fearS about OD. In some cases, a very
top person from another
Tganization where OD has been used can be invited to
experiences with the group on how OD
share his orinformally
her
was introduced in his
her organization or
and what it did and did not do. As a result of such a
meeting, the consultant may
either be finally invited to initiate the OD programme or the
top group may feel that
their organization is not yet ready for OD programmes.
Problem Identification
After the first phase is over and if the OD consultant has been invited to work with
the organization, the second phase begins. The main purpose of the second phase is
to understand the main problems facing the organization. This understanding has to
be developed by working with several people in the organization. In addition to
collecting preliminary data, the consultant now gives his or her detailed attention to
OD strategy. The following elements are involved in this phase.
Interview The consultant interviews people at several stages. In addition to
interviewing the top people, he or she interviews people at various other levels and
collects information based on these interviews. The consultant keeps his or her eyes
in the organization. For example,
pen to see what would ordinarily be neglected
the supervisor, the consultant may observe
ue crossing the shop floor to interview at another person or of people busy
in
1Ours such as that of a person shouting
small group, etc. The
consultant notes down important
Tried conversation in a
observations.
the consultant will
Data collection As a result of interviews with several people,
Collection the organization to
havODtained enough information to select certain aspects of
in the organization
work o r she may, for example,
find that the main problem
is lae He find that people
feel they do not get enough
t r u s t in another, or may
one data in order to go
consultant then collects m o r e
respo
int Dility in their roles. The collection is to use various
The usual way of data
inst details of the problem. instruments
Such yield data about
may
ents to be filled out by individuals.
ind
ndividuals as well as grou processes.
The instruments used may focus on such aspects ot the
organization
motivational patterns, perception of leadership styles,
problems, delay, work satisfaction and role tension. They are
eption
perception ofof various
varioe t e
kinds of
cimate,
standard instruments or are especially prepared by the
either availof
consultant. Data o
through structured instruments helps systematically getting information okon
in
organization. Many things that may not come out in the interview can be
such data. In many cases, it learnt
may not be possible to interview the
the large number
people in the organization, and data collection through instrumentslarge numbe
may he.
of
convenient. more
Diagnosis After data collection, the consultant tries to diagnose the main
Diagnosis takes into account not only the data collected through the problems
also the data from the interviews well
instruments hutut
as as observations and notes made.
consultant gains The
a
preliminary understanding of the diagnosis, prepares notes on t
and obtains some
understanding of what the problems are and which of them are
more
important than others.
or
through specific activity on which they have to through specia es team
building exercises are held in quick succession work together. 01ing and
culture of mutuality so that a shared
may be developed and the teams understa nction
Planning of next phase The organization and the consultant together plan the
next phase. This is done mainly by the top people and the consultant in a joint
meeting. They may, for example,decide that the next phase should have more to do
are needed, or that a particular
with process work, that specific structural changeswork. At this stage, it is necessary
uepartment should be taken for more intensive
up
involvement he or she would like to have in
1Or the consultant to decide how much take on some responsibility.
internal person is able to
e process and to ensure that an
Resources
Development of Internal this in fact continues through
the last phase,
Altho
ough this has been mentioned as
consultant identifies
an internal resource
internal
resource
to
help E person develop
in the
development
work and
of an
sustained
efforts. HRD
external consultant's time time and
energy
of speedy major bank,
HRD
In one
perso OD is paid off in terms
effective
OD
resources.
often
manag and trainers
rs are
764 The Organization
A GUIDE
FOR TRAINERS TO
THE TECHNIQUES
OF ORGANIZATION
DEVELOPMENT (OD).
MACRO OD INTERVENTIONS
nostic
nostic ttool
to for
r an organized
collection of
357
358 Appendix B
tape
recorded group
unstructured but
the format of a series
of units. The manager or
takes
t similar rank but differing to gain
of general questions
nterviews of employees interviews asks
conducting the a s seen by a broad
Cnange agent issues, and r e s o u r c e s
used to assess the
on the needs, c o n c e r n s , methods a r e
u Ormatuon Polling are
organization members. tape recoraings
spectrum of and
issues the
relative strength of feelings regarding feelings of the members. Fordyce
epitomize the
to find quotes that to utilize
this approach.
reviewed description of how the per-
and
weil (1971) provided a
Organizational
mirroring
utilizes
affect their area. The groups then prioritize the concerns according
ed
Pshe order they feel toP management should address them. Action plans
toveloped.
developed.
The total group is reconvened and each unit reports to a
a r e
pas and ma
rts and makes commitments to action as they see fit. All managers are
e d to make_plans TOr reporting what went on at the meeting to tneir
asked t o
Subordinates.
nates. Ton
Top managers are expected to follow through on their
sumitments immediately. Beckhard (1969) provided interested readers
readers
0provided
with a short
but excellent reference.
that
Open systems planning Open systems planning is an approach
highlights the need to understand the external as well as the internal
envir
uironment of an organization in order to assess and plan changes.
are formed and asked to create a description of the
Planning groups interactions
orcanization's present situation in terms of expectations for and
its external and The groups are then asked
internal environments.
hetween external and internal
on the tuture and predict changes in the
to focus
intervention is instituted ('realistic future
enyironments if no deliberate
and executed ("idealistic future
scenario") and again if changes are planneddiscussed and plans are developed
Scenario"). The scenarios are shared and of
action programs. Jayaram (1976) presented examples
across groups for
an alternative approach.
how to use this model. Adams (1975) presented Grid OD repre-
Grid OD As presented by Blake and Mouton (1969),
sents a comprehensive strategy
that involves virtually the entire organization
are assessed along two dimensions:
in a longitudinal effort. Leader's styles
concern for people.
Individual development
concern for productivity and
on both dimensions.
plans established to encourage leaders to improve
are
about
that, to quickly share what they areproud and sorry about regarding
current activities, nonactivities, and characteristics of their organization, as
well as
to fantasize what they would prefer their organization to be like at
Some point
in the future. Lindaman and Lippitt (1979) provided the
interested reader with whole series of
a questions and exercises to facilitate
this process. Once some future goals are
agreed to, task forces are formed to
plan what is needed to assist the organization's effort to achieve these
Public celebrations of progress toward goal attainment
goals.
are recommended
by most futurists.
Technostructural Approaches
Job enrichment/job redesign This includes
increase the motivating factors of a any systematic effort to
job order to enhance the job holder's
in
satisfaction and performance levels
"Two Factor Theory of Job Satisfaction"simultaneously. Herzberg's famous
for many of these efforts. (Herzberg, 1968) provided the basis
According to the theory, "hygiene factors" (e.g.,
pay, job security, working conditions,
motivation in workers, but merely safety) do not create satisfaction or
prevent dissatisfaction if provided for.
"Motivator factors" (e.g., responsibility,
learning, growth opportunities) available to
achievement, accomplishment,
determine job satisfaction/motivation. So
a worker on his or her job
the jobs of
changed that more motivator factor
so targeted workers are
performance of the job. If the job is opportunities are built into the
are improved and/or changed such that only
hygiene factors
variety increased by
in the person's
assignments, it is referred including new, but routine, tasks
to
as job
Hackman and Oldham (1980) enlargement.
suggested
assessing the characteristics of the job(s) a
strategy that involves
dimensions (skill variety, task identity, targeted for change on five core
feedback) using the Job Diagnostic Surveytask significance, autonomy,
autonomy, and
ana
Survey generates a measure of (Hackman
the motivation & Oldham, 1975). The
iob holder's motivation,
satistaction, growth
potential of a given job. 1nc
are also assessed to determine uhot needs, and performance leyas
ORIENTED OD
R O U P - O )
INTERVENTIONS
Teambuilding
QWL/EI Processes
Joint Union-Management Quality of Work Life (QWL/Employee Involve
unionized
arealmost any OD intervention in a
actually
ment (El) Approaches interven-
most QWL/EI efforts rely heavily on small group
setting. However, r e a s o n s . Nadler
and Lawler (1983)
tions for structural and developmental
effort are "(1) a
distinctive elements of a QWL/EI
Suggested that the as well as on
organization
of work on people
Concern for the impact of participation in organizational problem
effectiveness and (2) the idea whether to commit to
After exploring
SOIving and decision making"
(p. 26). entitled a QWL/EI Steering
QWL/EI, a group (usually function.
caperimenting with attempts to help
the group
consultant the principles
Ommittee) is formed and
a
mission of the QWL/EI effort,
the
Its
Purpose is to determine
sites where experiments
will be attempted,
continue the
the pilot needed to
LOVern the process,
and
resources
all organiza
the progres of the effort, the support process
throughout
ef gress diffuse the
QWL ement inin matters
matters
effort,
tiona
and the m e a n s to
expected
involvement
to avoid is usually
subsystem This p r o c e s s is bargaining process. The process
tional systems.
und
der the doma of the collective (one fron
om manage-
co-facilitators
union)
who report
to
departmental
(often
(often called
called
Problem-solving
Ving groups groups
are
employee participation groups, or employee involvement groups, or core
groups) or hierarchical levels on a permanent basis or cross-functional, ad
hoc task forces focused on
a specific problem on a temporary basis. These
groups generally meet once a week for one to one and one-half hours. The
steering committee generally meets once a month, but more frequently prior
to the launch of the other
groups.
are then
that also address expected to develop specitic,
goals
results-
objectives
f theto achieve responsibilities of team members
roles and re career and
development goals.
are unclear, time
b etaken clarity on these matters must first
tives
ard objecti should be reviewed throughout the team. Progress
to on a
hordinate must schedule a formal continuous basis, but superior
agreed upon time period. The CMBOperformance review at the end of
the agre
adjuststed, and recycled on a yearly basis. Theprocess
an should be rediagnosed,
French and Hollman (1975). interested reader is referred to
details.
Process Consultation
Process consultation is a feedback and
agenda-setting intervention
whereby consultant describes his or her observations of how the
a
works as a team and/or sets aside some time for group
the group to address
process issues listed by the consultant. The
purpose is to raise awareness of
strengths as well obstacles the group
as