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ORGANISATIONAL DEVELOPMENT 
Presented by 
S.Esther Shilpa
ORGANISATION 
 Organization is a ‘social unit’ with some 
specific purpose (s) 
 “Organizing” is a subject of the larger 
activity of “managing” 
 It is the process by which the structure of 
of an organization is created and 
maintained 
 All activities involving 2 or more persons 
 Simple or complex depending on their purposes, size, 
technology, or nature of activities
Meaning 
OD refers to a long-range effort to improve 
an organization’s problem-solving capabilities 
and its ability to cope with changes in its 
external environment with the help of external 
or internal behavioral-scientist consultants.
GOALS OF OD 
 OD is intended to create an internal 
environment of openness, trust, mutual 
confidence and collaboration and to help the 
members of the organisation to interact more 
effectively in the pursuit of organisational 
goals. Thus the organisation is enabled to 
cope effectively with external forces in the 
environment.
OD 
• Start Point – when the leader identifies an 
undesirable situation and seeks to change it. 
• Focus - Making organizations function better 
(total system change). 
• Orientation - Action (achieving results through 
planned activities). 
• No unifying theory – just models of practice
Poor alignment to organization’s strategy 
Low productivity 
Organization Intergroup conflict 
Interpersonal conflicts 
Start Point
Focus 
Change – new state of things, different from old state of things 
Can be viewed as an opportunity or as a threat 
Change 
First order change 
(making moderate adjustments) 
Second order change 
(reinvent, reengineer, rewrite) 
What needs to be changed and how to go about it 
OD consultants are experts in organizational change
Orientation 
Diagnosing 
Taking Action 
Re-Diagnosing 
Taking New Action 
This process is known as 
‘Action Research’ 
Three ingredients: 
1. Participation 
2. OD consultant (as collaborator & colearner) 
3. Iterative process of diagnosis & action 
Change occurs based on the actions 
taken 
New knowledge comes from examining 
the results of the actions.
OD MODELS 
• Kurt Lewin’s Unfreezing-Changing- Refreezing 
Model 
• Action research model (Shewhart’s PDCA 
Cycle)
Definition(s) of OD 
Organization Development is a systematic 
application of behavioral science knowledge to the 
planned development and reinforcement of 
organizational strategies, structures, and processes 
for improving an organization’s effectiveness. 
…Cummings & Worley, 1993 
Organization development is a planned process of 
change in an organization’s culture through the 
utilization of behavioral science technologies, 
research, and theory. 
…Burke, 1994
History of OD 
Four major stems of OD 
(1) T-group 
(2) Survey Feedback Technology 
(3) Action research 
(4) Sociotechnical & Socioclinical approaches 
(1) T-Group (Laboratory Training) – participants learn from their own 
actions and the group’s evolving dynamics 
(2) Developing reliable questionnaires, collecting data from 
personnel, analyzing it for trends, and feeding the results back to 
everyone for action planning 
(3) Diagnosing, taking action, re-diagnosing and taking new action 
(4) Integrate social requirements of employees with technical 
requirements needed to do work in provided environment.
OBJECTIVES 
 Improved organisational performance 
as measured by profitability, market 
share, innovativeness etc. 
 Better adaptability of the organisation 
to its environment 
 Willingness of the members to face 
organisational problems and contribute 
creative solutions to these problems
OBJECTIVES 
 Improvement in internal behaviour 
patterns such as interpersonal 
relations, inter-group relations, level 
of trust and support among role 
members, understanding one’s own 
self and others, openness and 
meaningful communication and 
involvement in planning for 
organisational development.
Participation & Empowerment 
Participation in OD programs is not restricted to elites or top 
people; it is extended broadly throughout the organization. 
Increased participation and empowerment have always 
been central goals and fundamental values of OD. 
Participation enhances empowerment and empowerment in 
turn enhances performance. 
Empowerment is the key to getting people to want to 
participate in change.
Managing the OD Process 
Three basic components of OD programs: 
Diagnosis Continuous collection of data 
about total system, its 
subunits, its processes, and 
its culture 
Action All activities and interventions 
designed to improve the 
organization’s functioning 
Program 
management 
All activities designed to 
ensure success of the 
program
CHARACTERISTICS 
• 1. OD focuses on development of 
organizational culture. 
• 2. OD focuses on overall development of 
organization and individuals with win-win 
strategy. 
• 3. It relies heavily on action research. 
• 4. It deals with improvement of on going 
processes. 
• 5. OD focuses on total system change and 
views organization as complex social system.
CHARACTERISTICS 
• 6. Delegation of authority, empowerment, 
and quality of work life, a sense of autonomy 
are the hallmark of OD programme. 
• 7. OD practitioners are facilitators and 
collaborators. Their assistance in 
identification of problem areas, arriving at a 
solution, implementation and feedback is 
necessary. Their services are valuable.
CHARACTERISTICS 
• 8. OD is characterized by study and 
development of multiethnic culture that is 
supportive of work ethics. People with 
diverse value system, culture, and interests 
should be able to work effectively under one 
roof and achieve cordial relationship with 
fellow employees. It should be able to help 
achieve organizational effectiveness.
CHARACTERISTICS 
• 9. Organizational development is a joint 
responsibility of owners, employees, 
investors’ society, government agencies and 
consumers. It must be understood that the 
organizations exist for all of them.
SUMMARY 
OD 
 is a planned change 
 involves the total system 
 managed with total acceptance and commitment of the top 
management 
 is designed to improve organizational effectiveness 
 makes use of behavioral science knowledge 
 is in terms of intervention at the task or structure or 
technology or people level 
 is an ongoing process and long term process 
 relies primarily on experiential learning 
 uses an action research intervention mode
Organisational development

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Organisational development

  • 2. ORGANISATION  Organization is a ‘social unit’ with some specific purpose (s)  “Organizing” is a subject of the larger activity of “managing”  It is the process by which the structure of of an organization is created and maintained  All activities involving 2 or more persons  Simple or complex depending on their purposes, size, technology, or nature of activities
  • 3. Meaning OD refers to a long-range effort to improve an organization’s problem-solving capabilities and its ability to cope with changes in its external environment with the help of external or internal behavioral-scientist consultants.
  • 4. GOALS OF OD  OD is intended to create an internal environment of openness, trust, mutual confidence and collaboration and to help the members of the organisation to interact more effectively in the pursuit of organisational goals. Thus the organisation is enabled to cope effectively with external forces in the environment.
  • 5. OD • Start Point – when the leader identifies an undesirable situation and seeks to change it. • Focus - Making organizations function better (total system change). • Orientation - Action (achieving results through planned activities). • No unifying theory – just models of practice
  • 6. Poor alignment to organization’s strategy Low productivity Organization Intergroup conflict Interpersonal conflicts Start Point
  • 7. Focus Change – new state of things, different from old state of things Can be viewed as an opportunity or as a threat Change First order change (making moderate adjustments) Second order change (reinvent, reengineer, rewrite) What needs to be changed and how to go about it OD consultants are experts in organizational change
  • 8. Orientation Diagnosing Taking Action Re-Diagnosing Taking New Action This process is known as ‘Action Research’ Three ingredients: 1. Participation 2. OD consultant (as collaborator & colearner) 3. Iterative process of diagnosis & action Change occurs based on the actions taken New knowledge comes from examining the results of the actions.
  • 9. OD MODELS • Kurt Lewin’s Unfreezing-Changing- Refreezing Model • Action research model (Shewhart’s PDCA Cycle)
  • 10. Definition(s) of OD Organization Development is a systematic application of behavioral science knowledge to the planned development and reinforcement of organizational strategies, structures, and processes for improving an organization’s effectiveness. …Cummings & Worley, 1993 Organization development is a planned process of change in an organization’s culture through the utilization of behavioral science technologies, research, and theory. …Burke, 1994
  • 11. History of OD Four major stems of OD (1) T-group (2) Survey Feedback Technology (3) Action research (4) Sociotechnical & Socioclinical approaches (1) T-Group (Laboratory Training) – participants learn from their own actions and the group’s evolving dynamics (2) Developing reliable questionnaires, collecting data from personnel, analyzing it for trends, and feeding the results back to everyone for action planning (3) Diagnosing, taking action, re-diagnosing and taking new action (4) Integrate social requirements of employees with technical requirements needed to do work in provided environment.
  • 12. OBJECTIVES  Improved organisational performance as measured by profitability, market share, innovativeness etc.  Better adaptability of the organisation to its environment  Willingness of the members to face organisational problems and contribute creative solutions to these problems
  • 13. OBJECTIVES  Improvement in internal behaviour patterns such as interpersonal relations, inter-group relations, level of trust and support among role members, understanding one’s own self and others, openness and meaningful communication and involvement in planning for organisational development.
  • 14. Participation & Empowerment Participation in OD programs is not restricted to elites or top people; it is extended broadly throughout the organization. Increased participation and empowerment have always been central goals and fundamental values of OD. Participation enhances empowerment and empowerment in turn enhances performance. Empowerment is the key to getting people to want to participate in change.
  • 15. Managing the OD Process Three basic components of OD programs: Diagnosis Continuous collection of data about total system, its subunits, its processes, and its culture Action All activities and interventions designed to improve the organization’s functioning Program management All activities designed to ensure success of the program
  • 16. CHARACTERISTICS • 1. OD focuses on development of organizational culture. • 2. OD focuses on overall development of organization and individuals with win-win strategy. • 3. It relies heavily on action research. • 4. It deals with improvement of on going processes. • 5. OD focuses on total system change and views organization as complex social system.
  • 17. CHARACTERISTICS • 6. Delegation of authority, empowerment, and quality of work life, a sense of autonomy are the hallmark of OD programme. • 7. OD practitioners are facilitators and collaborators. Their assistance in identification of problem areas, arriving at a solution, implementation and feedback is necessary. Their services are valuable.
  • 18. CHARACTERISTICS • 8. OD is characterized by study and development of multiethnic culture that is supportive of work ethics. People with diverse value system, culture, and interests should be able to work effectively under one roof and achieve cordial relationship with fellow employees. It should be able to help achieve organizational effectiveness.
  • 19. CHARACTERISTICS • 9. Organizational development is a joint responsibility of owners, employees, investors’ society, government agencies and consumers. It must be understood that the organizations exist for all of them.
  • 20. SUMMARY OD  is a planned change  involves the total system  managed with total acceptance and commitment of the top management  is designed to improve organizational effectiveness  makes use of behavioral science knowledge  is in terms of intervention at the task or structure or technology or people level  is an ongoing process and long term process  relies primarily on experiential learning  uses an action research intervention mode