Subject – Organizational Behaviour

Unit – 5

Meaning of Organization Change

Organization Change means making improvements or adjustments within an organization to

help it grow, adapt, or solve problems. This could include changing how things are done,
updating processes, adopting new technologies, or shifting the company’s goals to keep up
with the times.

In simple terms:

 Organization Change is about making necessary adjustments to stay competitive or

improve.

Definition of Organization Change

Organization Change

Kurt Lewin (1951): Organizational change is a process of unfreezing, changing, and

refreezing to adapt or improve an organization.

Need for Change

1. Adapt to External Environment:

o The world is constantly changing, including technology, customer preferences,
and market trends. Organizations must adapt to these changes to survive and
thrive.

Example: A company may need to update its technology to stay competitive in the market.

2. Improve Performance:
o If an organization is not performing well, change is necessary to improve
efficiency, productivity, and quality of work.

Example: If sales are low, a change in strategy or product offerings might be needed to boost
sales.

3. Overcome Challenges:
o Challenges such as poor team coordination, low morale, or ineffective
leadership can make the organization less effective. Change can help address
these issues and create a better work environment.

Example: A company facing internal conflicts may need to improve communication and
teamwork.
 4. Innovation and Growth:
o Organizations need to innovate regularly to stay relevant. Change allows
organizations to introduce new products, services, or ways of working that can
lead to growth and expansion.

Example: A company might introduce a new product line to meet changing consumer
demands.

5. Employee Satisfaction:
o Change is needed to improve employee morale and job satisfaction. Regular
changes in work processes or offering new opportunities for career growth can
keep employees motivated.

Example: Providing training and development programs can increase employee skills and
satisfaction.

Strategies To Overcome Resistance

1. Effective Communication:

Resistance often arises from fear or misunderstanding. Clear, open communication

about why the change is needed, what will happen, and how it will benefit everyone
helps reduce uncertainty.

2. Participation and Involvement:

People are more likely to support change if they feel involved in the decision-making
process and see their input as valuable.

3. Provide Support and Training:

Change often requires new skills or knowledge. When employees are well-prepared,
they are less likely to resist.

4. Build Trust through Leadership:

When employees trust their leaders, they are more likely to support changes.
Transparent leadership helps reduce fears and misconceptions.

5. Address Concerns and Listen

 People resist change because they fear negative outcomes. Addressing their concerns
and providing solutions helps reduce this fear.
Process of Change

1. Recognizing the Need for Change

The first step is realizing that something within the organization needs to change.
This could be due to internal problems, external factors (like market conditions), or
the need to improve performance.

2. Planning the Change

Once the need for change is identified, the next step is to plan how the change will
happen. This includes defining the goals, the scope of the change, resources needed,
and the timeline for implementation.

3. Communicating the Change

Informing everyone in the organization about the planned change is crucial.

Communication helps employees understand why the change is happening, how it
will affect them, and what they need to do.

4. Implementing the Change

This is the stage where the change is put into action. It could involve new systems,
processes, or behaviors being introduced. The implementation should be well-
coordinated to minimize disruption.

5. Managing Resistance to Change

People naturally resist change, so it’s important to address any concerns or challenges.
Providing support, listening to feedback, and encouraging involvement can help
overcome resistance.

6. Monitoring the Change

After the change has been implemented, it’s essential to track progress and assess how
well the change is working. Monitoring allows the organization to identify problems
early and make adjustments if necessary.

7. Reinforcing the Change

To make the change permanent, it’s important to reinforce the new ways of doing
things. This can involve rewarding those who adapt well, integrating the change into
the organization’s culture, and continuing to support employees.

8. Consolidating the Change

 The final step is to make the change a permanent part of the organization’s culture
and operations. This step ensures that the change becomes a normal part of how the
organization functions and is not easily undone.

Meaning of Organization Development (OD)

Organization Development (OD) is a planned effort to improve an organization’s overall

effectiveness and health. It focuses on making long-term improvements in areas like
teamwork, communication, leadership, and organizational culture. OD aims to create a better
work environment and increase the success of the organization.

In simple terms:

 Organization Development is a longer-term approach focused on building a stronger

and healthier organization.

Definition of Organization Development (OD)

Richard Beckhard (1969): OD is a planned effort to improve an organization’s effectiveness

and health through behavioral science interventions.

OD (Organization Development) Interventions

OD interventions are specific actions or programs implemented to improve the

effectiveness of an organization. These interventions are designed to address
particular issues or areas within the organization, such as communication, team
dynamics, leadership, or culture. The goal is to bring about positive and sustainable
change. Below are some common OD interventions:

1. Team Building

Team building interventions focus on improving the performance and relationships of

teams within the organization. It involves activities designed to enhance
communication, trust, cooperation, and problem-solving skills.

 Example: A company may organize team-building workshops, exercises, or retreats

to help employees build better teamwork and improve collaboration.

2. Leadership Development

Leadership development interventions aim to enhance the skills, behaviors, and

decision-making abilities of current and future leaders within the organization. These
interventions help leaders manage teams effectively and handle challenges.

 Example: A training program that teaches leaders how to improve communication,

motivate teams, and handle conflict.

3. Process Consultation
 In process consultation, external consultants work with organizations to help them
improve their internal processes and operations. The focus is on diagnosing issues and
facilitating better ways to work together.

 Example: A consultant helps a company improve its decision-making process by

observing how teams collaborate and suggesting improvements.

4. Survey Feedback

Survey feedback interventions involve collecting data from employees through

surveys or questionnaires, analyzing the results, and providing feedback to the
organization. This helps identify issues like employee satisfaction, morale, or
organizational culture.

 Example: An organization conducts an employee satisfaction survey, analyzes the

results, and shares them with leadership to address areas of concern.

5. Job Enrichment

Job enrichment involves redesigning jobs to make them more interesting and fulfilling
for employees. This could include adding variety to tasks, increasing responsibility, or
offering opportunities for personal growth and development.

 Example: A company might allow employees to take on new roles or work on

challenging projects to increase job satisfaction and motivation.

6. Conflict Resolution

Conflict resolution interventions focus on resolving disputes or misunderstandings

between individuals or groups within the organization. This intervention aims to
reduce tension and foster a more cooperative work environment.

 Example: A manager helps mediate a dispute between two team members and
encourages them to work out a solution together.

7. Appreciaive Inquiry

Appreciative Inquiry is a positive approach that focuses on identifying the strengths

and best practices within an organization. The idea is to build on these strengths to
create future improvements.

 Example: An organization conducts a workshop where employees discuss what has

worked well in the past, and how these positive aspects can be expanded in the future.

8. Cultural Change Interventions

Cultural change interventions are designed to shift or improve the organizational

culture. These interventions focus on changing values, norms, and behaviors to align
with the organization's goals.
  Example: A company introduces new values and behaviors related to customer
service and then works to embed these into daily operations.

9. Career Development Programs

Career development interventions help employees grow in their roles and prepare for
future responsibilities. These programs might include mentoring, coaching, or
providing educational opportunities.

 Example: A company sets up a mentorship program to help junior employees learn

from senior managers.

Summary of Common OD Interventions:

1. Team Building – Improving team cooperation and communication.

2. Leadership Development – Enhancing the skills of organizational leaders.
3. Process Consultation – Improving internal processes and operations.
4. Survey Feedback – Collecting and using data to address employee concerns.
5. Job Enrichment – Redesigning jobs to make them more engaging.
6. Conflict Resolution – Addressing and resolving disputes within the organization.
7. Appreciative Inquiry – Focusing on strengths to drive future improvements.
8. Cultural Change – Shifting organizational values and behaviors.
9. Career Development – Helping employees grow and prepare for future roles.