MBA-IV SEMESTER

404-ORGANISATIONAL DEVELOPMENT

UNIT-I

Organisational development Concept:

Development is a continuous process and it accommodates in itself many

changes that occur in science and technology, economic, market, political
environment, education, knowledge, values, attitude and behaviour of people,
culture etc. Organisation development is a part of overall development in general.
It cannot remain unaffected by the developmental process. The organisation has to
change the beliefs, values and its structure to accommodate the new ideas, beliefs
and new technologies for progress.

This is very essential. The organisation must respond to changes. So that it

can face the challenges ahead. The management of human resources depends
upon organisational effectiveness. Human resources form the main plank of any
organisation. Humans are affected by change. Organisation development
accommodates and incorporates variety of planned changes based on humanistic
democratic values, technology that are sought to improve the effectiveness of
organisation and well being of its employees.

Meaning of OD:

 Organization development is known as both a field of applied behavioural

science focused on understanding and managing organizational change and
as a field of scientific study and inquiry.
 OD is a systemic learning and development strategy intended to change the
basics of beliefs, attitudes, and relevance of values and structure of the
current organization to better absorb disruptive technologies, market
opportunities, and ensuing challenges and chaos.

Definitions of OD:

According to Dale S. Beach, organisation development (OD) is, “a

complex educational strategy designed to increase organisational effectiveness
and wealth through planned intervention by a consultant using theory and
techniques of applied behavioural service.”

According to J I Porras and P J Robertson, Organisational

Development, “is a term used to encompass a collection of planned change
interventions, built on humanistic democratic values, that seek to improve
organisational effectiveness and employee well being.”

According to George R. Terry, “Organisational development includes

efforts to improve results by getting the best from employees, individually and as
members of working groups.”

As per Werren G. Bennis, Organisation Development is, “a complex

educational strategy intended to change the beliefs, attitudes, values and structure
of organisations so that they can better adapt to new technologies, markets and
challenges and the dizzying rate of change itself.”

Organisation is an open system and therefore must develop itself by

adopting various changes to meet the challenges thrown out by the constantly
changing environment.

OD incorporates various changes and accordingly takes up management

development and training programmes to cope up with the situation.

Organisation development takes the help of social sciences such as

psychology and sociology and anthropology. A continuous research and theory
building is the crux for OD because it concerns with people.

It helps increasing organisational effectiveness. OD involves the changes

over a long period of time in systematic and planned manner in work culture,
organisation structure, its people, process, strategy, objectives etc. The help from
various other social sciences is sought to develop and maintaining organisational
health and soothing climate.

History of Organisational Development:

 Kurt Lewin (1898–1947) is widely recognized as the founding father of

OD, although he died before the concept became current in the mid-1950s.
 From Lewin came the ideas of group dynamics and action research which
underpin the basic OD process as well as providing its collaborative
consultant/client ethos.
 Institutionally, Lewin founded the "Research Center for Group Dynamics"
(RCGD) at MIT, which moved to Michigan after his death.
 RCGD colleagues were among those who founded the National Training
Laboratories (NTL), from which the T- Groups and group-based OD
emerged.
 Institutionally, Lewin founded the "Research Center for Group Dynamics"
(RCGD) at MIT, which moved to Michigan after his death.
  RCGD colleagues were among those who founded the National Training
Laboratories (NTL), from which the T- Groups and group-based OD
emerged.
 Douglas McGregor and Richard Beckhard while "consulting together at
General Mills in the 1950s, the two coined the term organization
development (OD) to describe an innovative bottoms- up change effort that
fit no traditional consulting categories"
 1947- National Training Laboratories Founded NTL in USA advances the
research into applied behavioural sciences, develops understand of change
agent role and experiential learning.
 1950’s – Human Relations Movement Growth of social and developmental
psychology.
 1951 – Socio-Technical System Thinking (STS) Tavistock Institute (UK)
research shows that combining social factors with technological changes
increases effectiveness, efficiency and moral.
 1967 – Survey Research Methods Likert and Mann pioneer survey
feedback to help organizational leaders understand the impact they have on
the people and performance of the organization.
 1968 – Creation of the T Group Lewin (USA) and Tavistock Institute
develops unstructured group laboratory training, and action learning sets.
 1974 – OD as Planned approach to Change Friedlander and Brown research
OD as a method of planned change effort
 1980’s – General Systems Theory Neilsen and Schein promote OD as
activities that influence the social processes within an organisation. –
 1997 – Organizational Effectiveness Linking the application of OD in
planned development interventions to the improvement of organizational
effectiveness.
 2000’s to Present – Complexity Theory OD continues to be informed by
new insights and research in a number of disciplines including natural
sciences, biology and physics as well as developments in the social and
behavioural sciences.

Contributory stems:

1. Laboratory training background :

 The laboratory training was first started in 1946.
  The first stem was about the growth and development of the National
Training laboratories (NTL) and the training groups called as
sensitivity training or T- groups.
 The first stem developed laboratory training or the T- groups.
 A T-group is a small, unstructured group where in the participants
learn out of their own interactions dynamic like interpersonal
relations, person growth , leadership and group dynamic.

2. Action research & survey feedback background:

 Kurt Lewin the action research and survey feedback method in 1947.
 Action research process is a scientific process of gathering organizational
data, giving feedback , analyzing and discussing the result with the client
groups and taking cooperative actions for developing the organisation.

3. Normative background:

 The normative approaches has resulted in a contingent view that effects the
external environment.
  Normative approaches has technology and other determining forces which
influence the organisational design and management practices.

4. Productivity & quality of work life background:

 Productivity and quality -of -work- life (QWL) background is divided into
two phases.
 The Europe’s original projects in 1950s and their emergence in US 1960s
explained the first phase of QWL programs incorporate participation by
unions and management in the work design leading to greater levels.
 The second phase of QWL programs started in 1979. QWL approach
started including other features like reward systems, workflows,
management styles and the physical work environment.

5. Strategic change background:

 The strategic change background is a latest effect on organizational

development’s evolution.
 Strategic change enhances the alignment between the organisational
environment, strategy and organizational design.
 Strategic change background is a long term plan.
Stage I – Inception:

 Often, organization is formed when a founder (or a group of founders)

recognizes an unmet need and decides to do something about it.
 The founder court followers by articulating her values and ideas.
 If the founders perceives sufficient support , he/she undertakes the moves
from inspiration to conceiving a new organization.

Stage II – Start -up & launch:

 Now the organization moves from visioning to planning and implementing

the dream.
 Location is chosen, buildings outfitted and the first staff.
 There is a constant cry for “cash” as start-up funding is quickly exhausted.

Stage III–Go-Go:

 As more paid staff comes on board, the organization begins to need

centralized and unified direction.
  The senior leader transitions from an educator-in- chief into a functional
manger and often some of her first direct reports transition from managing
themselves to managing staff.

Stage IV-Maturing:

 By this point in the life cycle the organization is firmly established.

 Basic resources are in place, and, typically , continuous growth creates
demand for more resources.

Stage V - Specialize & Control:

 In the best scenarios, healthy organization at this stage are systematic

enough to understand the reason for their successes able to replicate them
 they address and solve problems caused by change.

Stage VI - Renew & Rebuild:

 Changing external forces or an implosion of internal forces or

unprecedented opportunities, or a combination of these three dynamic
propel the organization into a large –scale review of its identity, values,
vision and mission.
 Generally, most of the original founders have left or moved on and a new
generation of leaders takes on the responsibility of the organization.

Values, Assumptions and Beliefs in OD:

A set of values, assumptions and beliefs constitutes an integral part of

organization development, shaping the goals and methods of the field and
distinguishing Organizational Development from other improvement strategies.

Belief: Belief is a proposition about How the world works that the
Individual accepts as true; it is a Cognitive fact (connected with thinking Or
conscious mental processes) of the Person.

Values: Values are beliefs about what a Desirable is or a good (honesty)

And what an undesirable is or a bad (e.g., dishonesty).

Assumptions: Assumptions are beliefs That are regarded as so valuable

and Obviously correct that they are taken For granted and rarely examined or
Questioned.

Values of Organizational Development:

 Organization Constitutes various People, professionals, technocrats,
Researchers, managers and a host of Other employees working in the
Organization contributing to the Accomplishment of organizational1 Objectives.
They behave differently. Authority and power, conflicts, control Take a backseat
during the Organizational Development process.

People are the heart, limbs and brain of,The organization. They are
responsible For creating opportunities for growth. They are the one who can act
together To achieve organizational goals. Hence They must be treated with
respect and Dignity.

Confidence and Support:

Trust among people is very important for the growth of the organization. A
Trust can only be created among people when they have confidence in each Other
and also support each other. Thus the people in the organization are to be
Believed and supported in order to have an effective organization.

The healthy environment prevails when people are trusted and taken into
Confidence and necessary support is extended to them as and when needed.

Confrontation:

In case of any confrontation or conflict should be dealt with openness

without suppressing it. Suppression leads to dampening of morale.

To avoid conflict or to get easy, earlier and amicable solution Identify the
problem and its causes, discuss it openly with concerned people and find out a
feasible solution. It boosts the morale of the employees and also creates a good
environment.

Employee Participation:

People react to how they are treated. The participation of employees who
will get affected by the Organizational Development should be sought in
Decision-making. Hence any change can be implemented easily.

Seeking Cooperation:

Should seek cooperation from each of the employees working under him in
his department. This shows the democracy in the Organization. The employees
feel that their opinion also counts and hence they take part in organizational
Activities with vigour. Creates an atmosphere of cooperation and leads to
organizational Effectiveness. It also increases the Willingness to accept the
changes due to the organization development process.

Expression:

The organization gains from the Differences in quality, ideas, opinions,

Outlook, and experiences of its people. Human beings should be allowed to
express their feelings and sentiments. This will result in building up high Morale
and the people will be Motivated towards hard work ultimately resulting in
increased Efficiency.

Assumptions of Organizational Development:

There are sets of assumptions, basic to most organization development

Activities, which relate to people as Individuals, to people as group Members and
as leaders, and to people as members of the total organizational Systems.

All assumptions are based on premises That “People in the organization are
the Most valuable source available”

The Assumption about People as Individuals:

Most Individuals have a drive towards Personal growth and development.

In An environment that is supportive and challenging, most people want to
become most of what they are capable Of becoming. In other words, Individuals
want personal growth and Development, which can be attained in A supportive
and challenging work Situation.

Most people are capable of making a Higher level of contribution To

organizational goals. A tremendous Amount of constructive energy can be Tapped
if organizations recognize This. The implication of this assumption Is that people
are experts. Organizations must remove obstacles And barriers and reward
success.

What the manager should do:

Ask, Hear, support, challenge, encourage Risk-taking, allow failure,

remove Barriers and obstacles, delegate Authority and responsibility, set higher
Standards and reinforce success Through rewards.

Example: Asking for and acting on Suggestions to solve problems.

The Assumption about People in Groups and About Leadership:

 The most psychologically relevant reference group for most people is the
workgroup. It basically implies that what goes on in the work team, especially at
the informal level, has great significance for feelings of satisfaction and
competence. Therefore, individual goals should be integrated with group goals.

Most people wish to be accepted with at least one small reference group.
This helps them greatly increase their effectiveness in helping their reference
group to solve problems. Therefore, the growth of individual members is
facilitated by relationships, which are open, supportive and trusting.

Group members must assist each other with effective leadership and
member behavior. For a group to optimize its effectiveness the formal leader
cannot perform all the leadership and maintenance functions in all circumstances
at all times and therefore assistance in leadership is required. .

Suppressed feelings and attitudes Adversely affect problem-Solving,

personal growth and job Satisfaction. The culture in most groups And
organizations tends to suppress the Expression of feelings and attitudes that
People have about each other and their Behaviors – both positive and negative-
And about where their organizations Are heading. If feelings are allowed to Be
expressed, it tends to open up many Avenues for improved goal setting,
Leadership, communications, and Conflict resolutions, problem-solving Between
the group, collaboration and morale. Attitudinal and motivational Problems in
organizations require Interactive and transactional solutions. Such problems have
the greatest chance of constructive solution if all parties in the system alter their
mutual1 Relationship, co-operation is always More effective than conflict.

Level of interpersonal trust, support, And cooperation are much lower in

Most groups and organization that is Either desirable or necessary. Typically A
number of forces contribute to Such situations, including an absence of Viewing
feelings as important data, lack of group problem-solving Skills, and leadership
styles That reinforce dysfunctional Competition.

Solution to most attitudinal and Motivational problems in organizations Is

transactional. Such problems have the greatest chance of constructive Solution if
all the parties in the system Or subsystem alter their mutual relationship.

What manager should do:

Encourage To form work teams, give an Opportunity to teams to Flourish,

replace one-on-one style with A leadership style, encourage active Participation of
members in problem- Solving and decision making, provide Substantial training,
enable members to Deal with both positive and negative Feelings, encourage
members to find Solution to their problems Through mutual interactions. The
Manager (the leader) must invest in Teams or groups.

Assumptions about People in Organizational Systems:

Traditional hierarchical forms of Organizations are obsolete. Therefore,

Experimenting with new organizational Structures and new forms of authority is
imperative (very important/Essential). Creating cooperative rather Than
competitive organizational Dynamics is a primary task of the organization.

Win-lose conflict strategies are not Optional in the long run to the solution
of most organizational problems. Most Organizations’ problems can better be
Approached in terms of “how can we All win?”.

People are an organization’s most important resource. They are the Source
of productivity and profits and should be treated with care. An Organization can
achieve higher Productivity only when the individual Goals are integrated with
organizational Goals.

What manager should do: Integrate Individual goals are integrated with
Organizational goals

Other Assumptions:

It takes time and patience, and the key Movers in Organizational

Development Efforts need to have a relatively long- Range time perspective.

Improved performance from Organizational Development efforts Need to

be sustained -It can be done by Bringing appropriate changes in the Appraisal,
compensation, training, Staffing, task, and communication Subsystems.

Ethical Issues in Organisational Development

Professional Ethics:
 Ethical issues in OD are concerned with how practitioners perform their
helping relationship with organization members. Inherent in any helping
relationship is the potential for misconduct and client abuse. OD practitioners can
let personal values stand in the way of good practice or use the power inherent in
their professional role to abuse (often unintentionally) organization members.
Ethical Guidelines:

To its credit, the field of OD always has shown concern for the ethical
conduct of its practitioners. Statements of ethics governing OD practices have
been sponsored by the Organization Development Institute, the American Society
for Training & Development and a consortium of professional associations in OD.

Ethical Dilemmas: Although adherence to statements of ethics helps prevent the

occurrence of ethical problems, OD practitioners still encounter ethical dilemmas

Process model that explains how ethical dilemmas can occur in OD

The antecedent conditions include an OD practitioner and a client system

with different goals, values, needs, skills, and abilities. During the entry and
contracting phase these differences may or may not be addressed and clarified. If
the contracting process is incomplete, the subsequent intervention process or role
episode is subject to role conflict and role ambiguity. Neither the client nor the
OD practitioner is clear about respective responsibilities. Each party is pursuing
different goals, and each is using different skills and values to achieve those
goals.
 The role conflict and ambiguity may produce different types of ethical
dilemmas in O. D. Practice stemming from the actions of either the consultant or
client or both:

 Misrepresentation
 Misuse of data
 Coercion
 Collusion
 Promising unrealistic outcomes
 Deception and conflict of values and
 Professional/technical ineptness.

Misrepresentation:

Misrepresentation occurs when OD practitioners claim that an intervention

will produce results that are unreasonable for the change program or the situation.
The client can contribute to the problem by portraying inaccurate goals and needs.
In either case, one or both parties are operating under false pretences and an
ethical dilemma exists. Misrepresentation is likely to occur in the entering and
contracting phases of planned change when the initial consulting relationship is
being established. To prevent misrepresentation, OD practitioners need to gain
clarity about the goals of the change effort and to explore openly with the client
its expected effects, its relevance to the client system, and the practitioner's
competence in executing the intervention.

Misuse of Data: Misuse of data occurs when information gathered during

the OD process is used punitively. Large amounts of information are invariably
obtained during the entry and diagnostic phases of OD. Although most OD
practitioners value openness and trust, it is important that they be Organisational
Development aware of how such data are going to be used. It is a human tendency
to use data to enhance a power position. Leaking inappropriate information can be
harmful to individuals and to the organization. It is easy for a consultant, under
the guise of obtaining information, to gather data about whether a particular
manager is good or bad. When, how, or if this information can be used is an
ethical dilemma not easily resolved. To minimize misuse of data, practitioners
should reach agreement up front with organization members about how data
collected during the change process will be used. This agreement should be
reviewed periodically in light of changing circumstances. Collusion:
 An example of collusion would be the consultant agreeing with key client
to schedule a team-building workshop when it is known that a certain
departmental head would be on vacation. If O. D. interventions are perceived as
methods for “getting” anyone, the O.D process is doomed to fail.

Coercion:

Coercion occurs when organization members are forced to participate in an

OD intervention. People should have the freedom to choose whether to participate
in a change program if they are to gain self-reliance to solve their own problems.
Management should not decide unilaterally for members. However, freedom to
make a choice requires knowledge about OD. Many organization members have
little information about OD interventions, what they involve, and the nature and
consequences of becoming involved with them. This makes it imperative for OD
practitioners to educate clients about interventions before choices are made for
implementing them. Coercion also can pose ethical dilemmas for the helping
relationship between OD practitioners and organization members. Inherent in any
helping relationship are possibilities for excessive manipulation and dependency,
two facets of coercion. An effective way to resolve the first aspect of the dilemma
is to make the change effort as open as possible, with the free consent and
knowledge of the individuals involved. The second facet of coercion that can pose
ethical dilemmas for the helping relationship involves dependency. To resolve
dependency issues, consultants can openly and explicitly discuss with the client
how to handle the dependency problem, especially what the client and consultant
expect of one another. Another approach can be by changing the client's
expectation from being helped or controlled by the practitioner to a greater focus
on the need to manage the problem. Such a refocusing can reinforce the
understanding that the consultant is working for the client and offering assistance
that is at the client's discretion.

Promising unrealistic outcomes:

Obviously, this is unethical & counter-Productive the temptation to make

promises in order to gain a client contract can be great, but the consequences can
be reduced credibility of the consultant and the reduced credibility of the key
client within the organisation as well as the O. D field. Thus, the values
underlying ethical O. D. practice are: honesty, openness, voluntarism, integrity,
confidentiality, the development of people and the development of consultant
expertise, high standards & self- awareness.
Deception and value Conflict:

This ethical conflict occurs when the purpose of the change effort is not
clear or when the client and the practitioner disagree over how to achieve the
goals. The important practical issue for OD consultants is whether it is justifiable
to withhold services unilaterally from an organization that does not agree with
their values or methods. Organisational Development Professional/Technical
Ineptness: This final ethical dilemma occurs when OD practitioners try to
implement interventions for which they are not skilled or when the client attempts
a change for which it is not ready. Critical to the success of any OD program is
the selection of an appropriate intervention, which depends, in turn, on careful
diagnosis of the organization. Selecting an intervention is closely related to the
practitioner's own values, skills, and abilities. In solving organizational problems,
many OD consultants emphasize a favorite intervention or technique, such as
team building, total quality management, or self managed teams. They let their
own values and beliefs dictate the change method, Technical ineptness dilemmas
also can occur when interventions do not align with the ability of the organization
to implement them. Again, careful diagnosis can reveal the extent to which the
organization is ready to make a change and possesses the skills and knowledge to
implement an ethical dilemma that arises frequently in OD.

Characteristics of Organisation Development:

Organisation development has the following characteristics:

1. Programme is planned involving all the departments and subsystems seeking

their coordination.

2. The top management is committed to the programmes for organisation

development.

3. It is related to organisational objectives.

4. OD is based on research. Continuous research goes on because interventions

are based on findings.

5. It utilises change agents to motivate the group of people to accept the changes
within the organisation as a part of OD.

6. OD lays stress on changing the behaviour of people.

7. It seeks interaction between various groups to cope up with the changes that
OD will incorporate.

8. Propagation is made so that people should know about the developments.

Feedback is taken.

9. OD through discussions solutions to the problems is sought. All problem

solving research constitute action research.

10. OD takes pretty long time to implement.

Foundations of OD:
 UNIT-V

Behaviour modeling

Behaviour modeling is a training technique designed to improve interpersonal

competence. For improving interpersonal skills behaviour modeling is an
important training option to the OD practitioner even though it is not an OD
intervention per se.

Based on Albert Bandura’s Social Learning Theory and utilising procedures

developed by Goldstein and Sorcher, Behaviour modeling has been shown to
be an excellent way to make first line supervisors more effective and improve
organizational performance.

The basic premise of social learning theory is that for persons to engage
successfully in a behaviour, they

1. Must perceive a link between behaviour and certain outcomes.

2. Must desire those outcomes.(called positive valence)
3. Must believe they can do it. ( called self efficacy)

A simple problem solving model underlies most behaviour modeling training,

Porras and Singh describe it as follows:

The problem solving approach, a rather straightforward one consisting of three

phases- problem identification, problem solving, and implementation, consisting
of five behavioural skills.

1. Behaviour description: the ability to describe behaviour of self or others

in specific concrete terms and to avoid generalizations or inferences
drawn from observed behaviours.
2. Justification: the ability to clearly explain the impact of an observed
behaviour on the individual, the observer, or the organisation.
3. Active listening: the ability to accurately reflect both content and
feelings of another’s
communication.
4. Participative problem solving: the ability to involve another,
meaningfully and appropriately, in the process of solving a work related
problem.
 5. Positive reinforcement: the ability to compliment another in a sincere
and authentic manner.

The steps involved in behaviour modeling are simple. First determine the
most pressing problems facing a target group, say, first line supervisors. These
usually consist of such issues as counseling the poor performer, correcting
absenteeism…training modules for each of about ten problems are developed,
the core of which are videotapes showing a person correctly handling the
situation. The specific behaviours exhibited by the model that cause success are
highlighted as “ learning points”- typically these are the behaviour skills
mentioned by Porras and Singh.

Weekly training sessions of four hours are scheduled for each module for
groups of approximately ten participants. At the training sessions the problem
situation is announced and briefly discussed. Participants then observe a video
tape in which the model successfully solves the problem by enacting specific
behavioural skills. The trainees discuss the behavioural skills and then role play
the situation receiving feedback from the group and the trainer in their
performance. Role playing continues until each participant successfully masters
all the specific skills. Participants then commit to practicing the new skills on
the job in the coming week. At the beginning of the next session, participants
report on how their new skills worked on the job. If necessary, additional
practice is held to ensure mastery of the skills. Then a new problem is addressed,
the model is observed on videotape, and role playing and feedback occur until all
participants learn how to solve the new problem.

Life and career planning:

Career anchors:

Edger schein has provided the concept of career anchors, which are useful
individually and in voluntary group discussions in career development
workshops. He defines the career anchor as “ the pattern of self perceived
talents, motives, and values” that serves “to guide, constrain, stabilise and
integrate the person’s career” and tends to” remain stable throughout the
person’s career.

The five career anchors are as follows.

Technical/functional competence: the entire career is organised around a
particular set of technical or functional skills which the person is good at and
values, leading to a self concept of remaining in an occupation that would
continue to provide challenging work around those particular skills wherever
they were.
1. Managerial competence: the entire career is organised around climbing
an organisational ladder to achieve a position of responsibility in general
management in which decisions and their consequences could be clearly
related by the individual to his own efforts in analysing problems, dealing
with people, and making difficult decisions in uncertain conditions.
2. Creativity: the entire career is organised around the same kind of
entrepreneurial effort would permit the individual to create a new service
or product, to invent something, or to build his or her own business.
3. Security or stability: the entire career is organised around the location of
an organisational niche that should guarantee continued employment, a
stable future, and the ability to provide comfortably for the family
through achieving a measure of financial independence.
4. Autonomy: the entire career is organised around finding an occupation
such as teaching, consulting… which permits the individual to determine
his own hours, lifestyle, and working patterns.

Life goals exercise

Herbert.A.Shepard is generally acknowledged as the author and the originator

of these life and goal exercises.

1.First phase

a) Draw a straight horizontal line from left to right to represent your life
span. The length should represent the totality of your experience and
future expectations.
b) Indicate where you are now.
c) Prepare a life inventory of important “happenings” for you, including the
following:
1. Any peak experiences you have had
 2. Things which you do well
3. Things which you do poorly
4. Things you would like to stop doing
5. Things you would like to do well
6. Peak experiences you would like to have
7. Values (e.g. power, money…) you want to achieve.
8. Things you would like to start doing now.

d) Discussions in subgroups.

2.Second phase.

a) Take 20 minutes to write your own obituary.

b) Form pairs; take 20 minutes to write a eulogy for your partner.
c) Discussions in subgroups.

The collage and the letters

The outline of activities suggested by Fordyce and Weil had the following steps.
First, individuals working in small groups are asked to make a collage- a
symbolic representation of their lives constructed out of art materials, old
magazines and news papers and the like; these are posted on the walls for the
later discussion.

Second, individuals write two letters. The instructions for which are as follows:

Now imagine that you have died ten years from now. Write a letter from one of
your best friends to another good friend, telling about you and your life. What
do you want him to be able to say about you? Next, imagine you have been
killed in an auto accident next week. Now write a similar letter. What would he
be likely to say about you?

At this point the group discusses the collages and letters of each individual,
giving the individual the chance to get feedback from the rest of the group about
their reactions and also allowing the group to learn more about each other.

This third set of public sharing serves to prepare the members for the next step,
consisting of building a “life inventory”, similar to the “life goals exercise”.
After the preparation of the life inventory, each individual prepares a career
inventory by writing answers to questions such as the following. What facets of
work do I like most/least? What do you think are my best skills, abilities, and
talents that I bring to the work situation? … These inventories are shared and
discussed within the group. As a final step, individuals set down a plan of action
steps for achieving the goals they have identified.

Life and career planning activities may take one day, an entire week, or when
spread out a few hours at a time, several weeks. These activities involve
generating data about oneself, analysing the data both individually and in
groups, and formulating clear goals and action plans for achieving them. These
activities are particularly helpful for those who feel they are on “dead centre”,
who are contemplating a career change, or who have seldom been
introspective about their own lifestyle and career pattern.

Consultant issues:

A number of interrelated issues can arise in consultant client relationships in

OD activities, and they need to be managed appropriately if adverse effects are
to be avoided. These issues tend to centre on the following important areas.

 Entry and contracting

 Defining the client system
 Trust
 The nature of the consultants
expertise
 Diagnosis and appropriate
interventions
 The depth of interventions
 On being absorbed by the
culture
 The consultant as a model
 The consultant team as a
microcosm
 Action research and the OD
process
 Client dependency and
terminating the relationship
  Ethical standards in OD
 Implications of OD for the client.

1. Entry and contracting: In the first meeting the consultant and the client
probably begin to sort out what group would be the logical starting point for an
OD intervention. If the problems appear to lend themselves to OD interventions,
the consultant describes how he or she usually proceeds in such circumstances.
All kinds of nuances can arise in this discussion. If both parties agree, this
condition becomes part of the overall psychological contract between
consultant and the client.

The more formal compensation aspects of the initial contract are also important
and need to be clarified for the peace of mind of both client and the consultant.
Contracting, in both a psychological and financial sense, occurs over and over
in OD.

2. Defining the client system: In the consultant client relations a viable is one
in which, in the initial contact, as single manager is the client, but as trust and
confidence develop between the key client and the consultant, both begin to
view the manager and his or her subordinate team as the client, and then the
manager’s total organisation as the client.

3. The trust issue: A good deal of the interaction in early contacts between
client and consultant is implicitly related to developing a relationship of mutual
trust. E.g. key client may be fearful that things will get out of hand with an
outsider intervening in the system. Similarly, consultant’s trust of the client may
be starting at neutral. The consultant will be trying to understand the client’s
motives and will want to surface any that are partly hidden.

Trust and resistance problems also centre on “ good guy- bad guy” syndrome”.
Internal or external consultants, through their enthusiasm for an exciting
technology, may signal that they perceive themselves as the carriers of the
message, that is, that they are “good guys”, and implicitely that others are not,
or at least are backward. This attitude obviously creates all sorts of trust and
relationship problems. Confidentiality must be maintained to maintain trust,
as implied in Weisbord’s ground rules for contracting.
4. The nature of the consultant’s expertise: OD expert should be prepared to
describe in broad outline what the organisation might look if it were to go very
far with an OD effort. Central to his/her role OD consultant must be an expert
on process and naturally wants to be perceived as competent. The consultant
therefore gets trapped in to preparing reports or giving substantive advice, when
if more than minimal, will reduce his/her effectiveness. At least four good
reasons should encourage the OD consultant to avoid for the most part of the
expert role. First, major objective of an OD effort is to help the client system to
develop its own resources; the expert role creates a kind of dependency that
typically does not lead to internal skill development.

Second, the expert role almost inevitably requires the consultant to defend his or
her recommendations. Third reason, it is to do with trust, confidential
reports/advices tends to create adversaries. The fourth reason has to do with
expectations. If the consultant goes very far in the direction of being an expert
on substance in contrast to process, the client is likely to expect more and more
substantive recommendations, thus negating the OD consultant’s central
mission which is to help with process.

5. Diagnosis and appropriate interventions: Another pitfall for the consultant

is the temptation to apply an intervention technique he/she particularly likes and
that has produced good results in the past, but may not square with a careful
diagnosis of the immediate situation. A consultant should do what he/she can
do, but the intervention should be appropriate to the diagnosis, which requires
an intensive look at the data.

6.Depth of intervention: In Roger Harrison’s terms depth of intervention can

be assessed using the concepts of accessibility and individuality. Accessibility
means the degree to which the data are more are less public versus being hidden
or private and the ease with which the intervention skills can be learned.
Individuality means the closeness to the person’s perceptions of self and the
degree to which the effects of an intervention are in the individual in contrast to
the organisation.

To minimize risks Harrison suggests two criteria for determining the

appropriate depth of intervention.-first to intervene at a level no deeper than that
required to produce enduring solutions to the problems at hand; and; second,
to intervene at a level no deeper than that at which the energy and resources
of the client can be committed to problem solving and to change.
Another way of viewing depth of intervention might be to think about the
performance of units by descending order of systems and subsystems. Data
about the behaviour and performance of the total organisation are perhaps
most accessible and the least personal and perhaps create least personal anxiety
defensiveness.
7.On being absorbed by the culture: One of the many mistakes one can make
in the change agent role is to let oneself be seduced into joining the culture of
the client organisation. participating in the organisation’s pathology will
neutralize the consultant’s effectiveness. Internal change agents may be even
more susceptible to absorption by the prevailing organisational culture than the
external change agents.
8. The consultant as a model: The OD consultant needs to give out clear
messages-that is the consultant’s word and apparent feelings need to be
congruent. the consultant also needs to check on meanings, to suggest optional
methods of solving problems, to encourage and support, to give feedback in
constructive ways and to accept feedback, to help formulate issues and to
provide a spirit of inquiry.

9. The OD consultant team as a microcosm: The consultant – key client

viewed as a team or consultants working as a team can profitably be viewed as a
microcosm of the organisation they are trying to create. In the first place, the
consultant team must set an example of an effective unit if the team is to
enhance its credibility. Second, practitioners need the effectiveness that comes
from continuous growth and renewal processes. And third, the quality of the
interrelationships within the consulting team carries over directly in to the
quality of their interventions.

10. Action research and the OD process: The related issue is whether the
OD process itself will be a subject to the ongoing action research being
experienced by the client system. The issue of congruency is of course,
important, but the viability of the OD effort and the effectiveness of the
consultants may be at stake. Unless feedback loops relate to various
interventions and stages in the OD process, the change agents and the
organisation will not learn how make the OD interventions more effective.
11. The dependency issue and terminating the relationship

 Expert versus facilitator issue

 Working to increase the resourcefulness of the client versus
wanting to remain involved, to feel needed, and to feel competent.
 OD efforts frequently flounder because of internal power struggles
that have not been sensed early enough by the consultant or
understood well enough for anyone to intervene constructively.
 Externally imposed crises occupying the attention of key people
thus suspending the OD interventions and returning to formal
structures.

12. Ethical standards in OD

 Misrepresentation of the consultant’s skills

 Professional/technical
ineptness
 Misuse of data
 Collusion
 Coercion
 Promising unrealistic
outcomes
 Deception and
conflict of values

13. Implications of OD for the client

 To enlarge the database for making management decisions

 To expand the influence processes
 To capitalize on the strengths of the informal system and to make the
formal and the informal system more congruent.
 To become more responsive.
 To legitimize conflict as an area of collaborative management
 To examine its own leadership style and ways of managing
 To legitimize and encourage the collaborative management of team,
interteam, and organisation cultures.
 System Ramifications

Hr, leadership & involvement,

 OD efforts & hr policies & practices are interdependent

 OD efforts have implications for staffing, rewards, training &
development, industrial relations, & other broad hr processes resistance to
change efforts: whenever employees perceive possibility of loss of
position or status, inequitable treatment or loss of use present
competencies or they have experienced duplicity or futile extra work in
past change efforts, resistance is likely to emerge.
 the management should reassure people as clearly as possible about those
areas that present no need for concern & those areas likely to see benefits,
along with establishing realistic expectations about pains &challenges
that will occur leadership & leadership styles:
 Both effective leadership & management are essential if organizations are
to be successful for the long term. The leadership behaviour is crucial to
maintaining the momentum of a continuous improvement effort. training
& development of consultation skills
 Training is essential to develop competencies for the new assignments
precipitated by major organizational change. rewards
 organization improvement process that depend upon the cooperation,
teamwork, creativity & intensified effort of organizational members; the
organization must pay attention to the allocation of rewards if the process
is to be sustained & if dysfunctional consequences are to be minimized

Constructive feedback

 employees should be taught to give & receive feedback, which is

constructive
 following are the guidelines for giving feedback:
 it should be solicited
 it should be immediate
 it should be specific
 it should be non-judgmental staffing & career development
An OD process carries implications for:
Selection

Involve in selection, both the team leader &team members orientation &
assimilation

 Introduce the new employee into the new culture.

 address the anxiety
 career development & progression
 career development is essential, for the employees should also see their
own growth along with the growth of the organization
 the organization should believe in internal recruitment for all its senior
position

Separation: OD process should temper the impact of downsizing

Crises:

 OD interventions can also assist organization members by becoming

socially responsible in dealing with crises like flood, earthquake, death of
any member

Organizational justice

 a shift in team & organizational culture toward more openness & toward
more openness & toward more mutual concern should, in large part,
facilitate the airing of felt injustices
 Establish procedures for handling complaints & grievances, protection
against punitive action.

Labour relations

 in unionized setting, the relationship should be towards problem-solving,

mutual-reward kind of bargaining relationship
 Productivity bargaining & agreements under quality of work life [qwl]
programs are two forms of integrative bargaining. monetary costs & skill
demands
for an OD effort to be successful, the top management should be committed,
they should be aware & realize that the development of the total organization,
including development of human resources & the social system is a continuous
process, & worthy of an ongoing investment

 The new culture is likely to include a commitment to examine all of the

forces bearing on a problem or challenge including one’s own impact.
thus, while the new culture may be, usually is, more exciting &rewarding,
it is likely to be more difficult &challenging well
Power politics in OD:

OD was founded on the belief that using behavioural science methods to

increase collaborative problem solving would increase both organisational
effectiveness and individual well being. OD addresses issues of power and
politics by proposing that collaboration, cooperation, and joint problem solving
are better ways to get things done in organisations than relying solely on
bargaining and politics.
To use the framework of Robert chin and Kenneth benne, OD programs
implement normative-re- educative and empirical-rational strategies of change,
not a power-coercive strategy. The normative- re-educative strategy focuses on
norms, culture, processes, and prevailing attitudes and belief systems. The
empirical rational strategy of change seeks facts and information in an attempt
to find “better” ways to do things. Virtually all OD interventions promote
problem solving, not politics, as a preferred way to get things accomplished.
OD values are consistent with the positive face of power, but not with the
negative face of power.

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.

Operating in a political environment:

First, OD practitioners operate from a potentially strong power base-

legitimate power, expert power… these sources of influence produce a
substantial power base that will enhance the likelihood of success.
Michael beer has identified additional means by which an OD group can gain
and wield power in organisations

 Competence
 Political access and sensitivity
 Sponsorship
 Stature and credibility
 Resource management
 Group support

Second, through models viz… centralizing some decision making, creating

slack resources…OD
practitioners can help organisation members reduce the negative face of power.

Third, the concept of positive and negative faces of power and political
suggests where practitioner is likely to be more effective.

Fourth, the OD practitioner should learn as much as possible about bargaining,

negotiations, the nature of power and politics, the strategy and tactics of
influence, and the characteristics and behaviours of power holders.

Fifth, the OD practitioner realizes that power stems from possessing a

commodity valued by others.

Rules of thumb for OD practitioner to operate in political environment

Rule one, become a desired commodity, both as a person and

a professional.

Rule two, make the OD program itself a desired commodity.

Rule three, make the OD program a valid commodity for multiple powerful
people in the organisation.

Rule four, create win-win solutions.

Rule five; mind your own business, which is to help someone else solve his/her
major problem.
Rule six; mind your own business, which is to be an expert on process, not
content.

Rule seven; mind your own business because to do otherwise is to invite

political trouble.

The future of organizational development:

 enormous opportunity & potential exists for the OD movement in the

future
 organizations throughout the world need unique help that can be provided
by highly trained interventions using people-oriented, action research
approaches
 the future of OD is bright, as long as the high quality, hard work of the
past continues, & providing it does not become fashionable for top
leaders to revert to autocratic or capricious practices in times of high
turbulence or crisis.
 Much challenging, difficult work remains to be done, but also great fun &
many rewards in working with people in making their organization more
successful &satisfying.
 OD is really about people helping each other to unleash the human spirit
& human capability in their workplace

There are contradictory opinions about the status and future prospects of
organizational development. Is it a theory whose time has come and gone? Does
its basis in behavioral science, a "soft" science, make it unappealing? What are
the challenges for the future?

An article by Bunker, Alban, and Lewicki proposes six areas that could
revitalize the field of organizational development in the future: virtual teams,
conflict resolution, work group effectiveness, social network analysis, trust, and
intractable conflict. These authors suggest that focusing on these areas will help
bridge the gap between research theory (i.e., academics) and practice (i.e.,
consultants). Getting these two groups to communicate with each other will
benefit both groups and promote organizational development efforts.

In a survey conducted by Church, Waclawski, and Berr, twenty individuals

involved in the study and practice of organizational development were
questioned about their perspectives and predictions on the future of the field.
The most in-demand services, according to those polled, are:

 executive coaching and development

 team building and team effectiveness
 facilitating strategic organizational change
 systemic integration
 Diversity and multiculturalism.
They list the daily challenges in the field as the need for speed, resistance to
change, interpersonal skills and awareness, and differentiating organizational
development, which refers to the variety of definitions of organizational
development among practitioners and how this impacts consultants, clients, and
the clients' needs.

The opinions on the future direction of the field vary among its practitioners.
Nevertheless, the continuing interest in and value of optimizing an
organization's needs and goals with the needs, wants, and personal satisfaction
of its employees indicate that organizational development will continue to be
relevant to and vital for organizational reform in the future, either in its present
form or through evolution into other theories and practices.

OD: the future

Burke (2004) identifies five models, two of which he sees as potential futures for
OD:

1.The traditional model: OD a sub‐function of HR

2. The independent model: freestanding OD not reporting in to HR but possibly

administration, strategy or operations

3.The decentralised model: OD practitioners in business units reporting to unit

head with perhaps a presence at HQ

4.The integrated model: OD integrated into all aspects of HR with change as a

primary responsibility
5.The strategy model: OD as an integral part of the strategic‐planning function
reporting to the CEO Burke argues that while the strategy model would put ‘OD
where it belongs in the organisation, that
is, integral to possibilities of system‐wide change’, he believes OD
professionals would require new business knowledge and skills as well as
incorporating the bottom line into their values. Indeed this lack of business
knowledge is also a frequent criticism of HR professionals. He therefore
believes that the integrated model provides a practical way to strengthen and
renew both functions and to spur new thinking and creative action for the future.
 MBA SEMESTER-IV 404- ORGANISATIONAL DEVELOPMENT

P.KEERTHI, MBA, MSC (MATHEMATICS), ASST.PROF, GATE COLLEGE 41