1. What is Organizational Development(OD)?

Organizational Development(OD): Organization development (OD) is the

systematic application of behavioral science knowledge at various levels (group, intergroup, and total organization) to bring about planned change. Its objectives include a higher quality of work life, productivity, adaptability, and effectiveness. It seeks to use behavioral knowledge to change beliefs, attitudes, values, strategies, structures, and practices so that the organization can better adapt to competitive actions, technological advances, and the fast pace of other changes in the environment. OD was necessary mainly because many managers failed to recognize that organizations are systems with dynamic interpersonal relationships holding them together. The reasonable next step was to try to change groups, units, and entire organizations so that they would support (not necessarily replace) change efforts. In short, the general objective of OD is to change all parts of the organization in order to make it more humanly responsive, more effective, and more capable of organizational learning and self-renewal. OD relies on a systems orientation, causal models, and a set of key assumptions to guide it.

2.

Discuss the Foundation of Organizational Development (OD).

Foundation of Organizational Development (OD):

SYSTEMS ORIENTATION: Change is so abundant in modern society that organizations need all their parts working together in order to solve the problemsand capitalize on the opportunities-that are brought about by change. OD is concerned with the interplay of structure, technology, and people. It is concerned with the behavior of employees in different groups, departments, and locations.
1.

UNDERSTANDING CAUSALITY: One contribution of the systems orientation is to help managers view their organizational processes in terms of a model with three types of variables.
2. i.

The causal variables: are the significant ones, because they affect both intervening and end-result variables. Causal variables are the ones that management can change most directly; ' they include organizational structure, controls, policies, training, a broad range of leadership behaviors, and OD efforts. The intervening variables: are those which are immediately affected by the causal variables. They include employee attitudes, perceptions, motivation, and skilled behaviors, as well as teamwork and even intergroup relationships. The end-result variables: represent the objectives sought by management. 'They usually include improved productivity. increased sales, lower costs, more loyal customers, and higher earnings. They represent the reason that the OD program was initiated.

ii.

iii.

Fig: variable in Likerts OD Approach.

3. ASSUMPTIONS UNDERLYING ORGANIZATION DEVELOPMENT: OD

practitioners make a set of assumptions that guide their actions. Sometimes these assumptions are implicit and need to be examined. It is important for managers to identify those assumptions so that they will be aware of their impact. A wide range of assumptions can be made, but certain ones are relatively common at the individual, group, and organizational level.

Fig: Common OD assumption.

3. Discuss the Characteristics Of Organizational Development OD. Characteristics Of OD: A number of characteristics, such as its systems orientation,
are implied in the definition of OD. Many of these are consistent with the dominant themes of organizational behavior presented earlier in this book. The characteristics are discussed in the following paragraphs and are summarized in Figure 159.~11though some of the characteristics of organization development differ substantially from traditional change efforts, OD has begun to have an impact on the way organizational change programs are designed and presented. 1. HUMANISTIC VALUES: OD programs typically are based on humanistic values, which are positive'-beliefs about the potential and desire for growth among employees. To be effective and self-renewing, an organization needs employees who want to expand their skills and increase their contributions. The

best climate for such growth is one that stresses collaboration, open communications, interpersonal trust, shared power, and constructive confrontation. 2. USE OF A CHANGE AGENT: OD programs generally use one or more change agents, whose role is to stimulate, facilitate, and coordinate change. The change agent usually acts as a catalyst, sparking change within the system while remaining somewhat independent of it. Although change agents may be either external or internal, they are usually consultants from outside the company. To offset their limited familiarity with the organization, external change agents usually are paired with an internal coordinator from the human resources department. These two then work with line management. 3. PROBLEM SOLVING: OD emphasizes the process of problem solving. It trains participants to identify and solve problems that are important to them, The approach commonly used to improve problem-solving skills is to have employees identify system problems, gather data about them, take corrective action, assess progress, and make ongoing adjustments. This cyclical process of using research to guide action, which generates new data as the basis for new actions, is known as action research, or action science. By studying their own problem-solving process through action research, employees learn how to learn from their

experiences, so that they can solve new problems in the future on their own.

Fig: Discuss the Characteristics Of Organizational Development

4. EXPERIENTIAL LEARNING: When participants learn by experiencing in the training environment the kinds of human problems they face on the job, the process is called experiential learning. Participants can discuss and analyze their own immediate experiences and learn from them. OD helps provide some of the applied answers. Participant experiences help solidify, or referees, new learning. 5. INTERVENTIONS AT MANY LEVELS: The general goal of organization development is to built more effective organizations once that will continue to learn, adapt, and improve. OD accomplishes this goal by recognizing That problems may occur at the individual, interpersonal, group, intergroup, or total organization level. An overall OD strategy is then developed with one or more interventions, which are structured activities designed to help individuals or groups improve their work effectiveness. These interventions are often classified by their emphasis on individuals (such as career planning) c groups (such as team building). 6. CONTINGENCY ORIENTATION : Organization development is usually described as contingency-oriented. Although some OD practitioners rely on just one or a few approaches, most OD people are flexible and pragmatic. selecting and adapting actions to fit assessed needs. Diagnosis plays a key role in determining how to proceed, and usually there is open discussion of several useful alternatives rather than the imposition of a single "best way. 7. SUMMARY AND APPLICATION : The OD process applies behavioral science knowledge and strategies to improve an organization. It is a long-range continuing effort that tries to build cooperative work relationships through the use of a change agent. It seeks to integrate into an effective unit the four elements that affect organizational behavior-people, structure, technology and environment.

4. Discuss The Organization Development(OD) Process.

The Organization Development(OD) Process : OD is a complex process. It may take a year or more to design and implement, and the process may continue indefinitely. OD tries to move to organization from where it is now (requiring diagnosis) to where it should action interventions). Even then, the process continues, as it is evaluate the outcomes and maintain the momentum. Although there are many different approaches to OD, a typical complete program includes most following steps:

1. Initial diagnosis: The consultant meets with top management to

determine the nature of the firm's problems, to develop the OD approaches most likely to be successful, and to ensure the full support of top management. During this step the consultant may seek inputs by means of interviews with various people in the organization.

2. Data collection: Surveys may be made to determine organizational

climate and behavioral problems. The consultant usually meets with groups away from work to develop information from questions such as these: a. What kinds of conditions contribute most to your job effectiveness? b. What kinds of conditions interfere with your job effectiveness?
c. What would you most like to change in the way this organization

operates? The by-products of data collection include the identification of performance gaps-deficiencies in the way the organization operates-and baseline information - a portrait of the organization's current level of operations for later comparison with the effects of OD efforts.

3. Data feedback and confrontation: Work groups are assigned to review

the data collected, to mediate areas of disagreement, and to establish priorities for change.

4. Action planning and problem solving. Groups use the data to develop

specific recommendations for change. Discussion focuses on actual problems in the organization. Plans are specific, including who is responsible and when the action should be completed.

5. Use of interventions: Once the action planning is completed, the

consultant helps the participants select and use appropriate OD interventions. Depending on the nature of the key problems, the intervention may focus on individuals, teams, interdepartmental relations, or the total organization.

6. Evaluation and follow-up: The consultant helps the organization evaluate

the results of its OD efforts and develop additional programs in areas where additional results are needed.

5. Discuss the Benefits and Limitations of Organization Development OD.

Benefits and Limitations of OD: Organization development is a useful organizational intervention. Its advantage is that it tries to deal with changes in a-hole organization, or a major unit of it. In this manner it accomplishes more widely dispersed improvement. Other benefits include improved motivation, productivity of work, job satisfaction, teamwork, and resolution of conflict. There also are reduced negative factors such as absences and turnover. The benefits and limitations are summarized in Figure:

Fig: Benefits and limitations of OD.