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Meaning of Organizational Development

Organizational development is a long-range effort to improve an organization’s problem-solving and renewal processes, particularly through a more effective and collaborative management of organizational culture with special emphasis on the culture of formal work teams with the assistance of a change agent, or catalyst and the use of the theory and technology of applied behavior science, including action research. In other words, organizational development (OD) is a planned process of change in a organization’s culture through the utilization of behavioral science technology, research and theory. Hence, OD is the systematic application of behavioral science knowledge at various levels such as group, inter-group, organization etc. to bring about planned change. 

Business organizations seek growth and enhancement. Organizations Development briefly called OD, is the most significant, innovative and integrated process of achieving operational efficiency and effectiveness in organizations. OD is a planned and calculated attempt to change the organization, typically to more behavioral environment. It places high priority on humanistic values and goals. It is a way of looking the whole human side of organizational life. Organizational Development (OD) has been widely used in recent years as an approach to introduction to planned change in organization. Organizational development is a planned effort initiated by process specialist to help an organization develop its diagnostic skills, coping capabilities, linkage strategies.

There are several definitions given by different experts about the organizational development which are as follows:

"OD is a planned, managed, systematic process to change the culture, systems and behavior of an organization in order to improve organization's effectiveness in solving its problems and achieving its objectives." – Harold Rush 

"Complex education strategy intended to change the beliefs attitudes, values and structure of organizations, so that they can better adapt to new technologies, markets and challenges." – Warren Bennis 

"OD is a planned process designed to improve organizational effectiveness and health through modifications in individual and group behavior, culture and systems of the organization using knowledge and technology of applied behavioral science." – Dale S. Beach 

"Organizations Development is a long range effort to increase an organization's problem solving and renewal capabilities though an improvement of its culture with the assistance of an outside expert in behavioral sciences, called a change agent." – French and Bell 

"Organizations development is a planned process of change in an organization's culture through the utilization of behavioral science technology, research and theory." – W. Warner – Weley 

From the above definitions, organizational development is a wide planned organizational process to improve organizational effectiveness and help to cope with environmental changes by using knowledge and techniques of behavioral science.

The silent characteristics of OD are categorized into five steps. 

First, OD is a systematic approach to planned change. It is a structured cycle of diagnosing organizational problems and opportunities and then applying expertise to them.

Second, OD is grounded in solid research and theory. It involves the application of our knowledge of behavioral science to the challenges that the organization face.

Third, OD recognized the reciprocal relationship between individuals and organizations. It acknowledges that for organizations to change, individuals must change.

Fourth, OD is goal oriented. It is a process that seeks to improve both individual and organizational well being and effectiveness.

Fifth, OD is designed to solve problems. 

Features of Organizational Development 

Features of organizations development program are as follows: 
  • It is problem oriented. OD attempts to apply theory and research from a number of disciplines, including behavioral science, from the solution of organizations problems.
  • It involves change agents. The process requires the facilitative role of a change agent to assist the organizations in redirecting its functioning.
  • It involves learning principles. OD's basic feature is reliance on re-education to bring about change. Re-education involves applying fundamental learning principles.
  • It is action oriented. OD focuses on accomplishment and results unlike approaches to change that tend to describe how organizational change takes place. OD's emphasis is on getting things done.
  • It is planned and long term. OD is data based approach to change that involves all of the implementation, monitoring and taking corrective action, when necessary. For significance of the anticipated and desired change, quick results are not expected; the entire process can take several years.
  • It reflects a systems approach. OD is both systematic and systemic. It is a way of more clearly linking the human resources and potential of an organization to its technology, structure and management processes.

 

Approaches of OD The approaches of organizational development (OD) are: 

1. Individual Intervention

The objectives of this type so organizational development is to increase the ability and motivation of individual employees. This type of development include:
  • Counseling and coaching: In the case of counseling the problems of the employees are discussed to do better in future. In case of coaching leader guides and directs the follower but not actually perform. Therefore, in both case consultation is given. So it the reason the employees know the alternative way of doing the job. 
  • Sensitivity training: Sensitivity training also known as T-groups (for training groups) or laboratory training or encounter groups is a methods by small face-to-face interaction experiences are used to give people insight into themselves. The concept of sensitivity training has evolved from the group dynamics concept of Kurt Lewin. The main objective of sensitivity training is to help individuals understand how they communicate, how their behavior affects others and how they are perceived by others.
  • Survey feedback: In this method, the result of survey are discussed. The survey is taken for department or whole organization.
Advantages
The major advantages of individual intervention approach are:
  • The outcome of such training is to help employees understand others better, become aware of their own feeling and perceptions and improve communication. 
  • It provides more supportive behavior, more open and self understanding, improved communications, increased belongingness to the group, conflict reduction etc.
Limitations
  • Mangers have to take extra care of subordinates. It increases their time as well as orgnization’s expenses. 
  • There is a chance of low productivity from employees side.

2. Process Intervention

It helps in increasing the interaction skills. Therefore, includes the following techniques.
a) Team buildings: First of all, team is built to discuss the problems. Team building starts from setting the objectives. Then, the performance of the team is evaluated. Then the role of the member is cleared. Ultimately the process is analyzed. And it increases the team effectiveness.

b) Process consolation: In this process, the outside consultant assist the team to perceive and understand the team effectiveness. So that consultant and the team can observe the process, which has to be improved.

c) Inter-group development: It helps in changing the perception and stereotype in the group. The main process of inter-group development can be used as the decision-making. The decision-making process and participation can improve the feeling of inter-group with warm relation.

Advantages
  • It deals with significant interpersonal problems prevailing in today’s organization. 
  • It helps the organizations and employees help themselves.
Limitations
  • It lays less stress on participant’s involvement. 
  • It is a long-term process, involving considerable commitment and cost.

Causes and Reasons of Origin of Organizations Development 

Following causes have led to the program of organization development. 

1. Desire for more Experimental Learning Processes 

The reason of organizational development is the desire for more experimental learning processes in employee training. As soon as they experience the problems relating to human behavior, they discuss and analyze them with their superiors or colleagues and learn something from this experience. This type of behavioral approach is much better than the traditional approaches of lectures and discussions. 

2. Fast Speed of Change

OD needs organizations to be much effective so that it may survive and prosper. The organizations development attempts to develop the culture of the whole organizations so that it may respond to change more uniformly and capably. It improves the problem solving ability by improving group dynamics or cohesive force.

3. Reward Structure on the Job

The main cause of OD is the fact that reward structure on the job did not adequately reinforce training; hence training momentum into the transition from a classroom to a work situation is excessively lost. The environment in the organizations does not support the training and therefore many well designed training and development programs fail. So, it is better to change entire organizations so that it will support the training that is provided.

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