Notes for Organisational Change and Organisational Development of BBM II sem Bangalore university

1. ORGANISATIONAL
DEVELOPMENT

2. Organisation Development (OD)
Characteristics
1. Planned Change
2. Comprehensive change
3. Emphasis upon work group
4. Long range planning
5. Participation of change agents
6. Emphasis on Intervention
7. Collaborative management
8. Organisational culture
9. Action research
It is a collection of planned-change interventions built on humanistic-
democratic values that seek to improve organizational effectiveness and
employee well-being.

3. 16-3
Underlying values in Organisational Development
1. Respect for People
2. Trust and Support
3. Power Equalization
4. Confrontation
5. Participation

4. Organization Development Interventions
Organization
Development
Techno-Structural Techniques
,
Relationship Techniques
HUMAN RESOURCE INTERVENTION
T-group Training
Team Building
Process Consultant
Survey Feedback
Intergroup development
TQM
Job Redesign
Management by Objectives
Structural alliance

5. T group training
Stranger lab:
• Intentional lack of
directive leadership,
formal agenda and
power / status.
• It creates behavioural
vaccum.
• It facilitates rich
projections from
behaviour.
Cousin lab:
• Trainer becomes open non
– defensive, empathetic
and minimally evaluative
way.
• Feed back received about
impact of other group
members
Stranger lab – people from different organization.
Cousin lab- same, but various departments
Family lab – “Back home” people in situations and problem

6. Sensitivity Training is a form of training that claims to make
people more aware of their own prejudices, and more sensitive to
others. According to its critics, it involves the use of psychological
techniques with groups that its critics.
Team building uses high interaction group activities to increase
trust & openness among team members, improve coordinative efforts,
and increase team performance.
Survey Feedback: The use of questionnaires to identify
discrepancies among members perceptions, discussion follows, &
remedies are suggested.
Process Consultant :The basic content of p-c is that the
consultant works with individuals and groups in the organisation to help
them learn about human and social processes and to solve problems
that stem from process events.
Grid Organisation : It is a comprehensive and systematic OD
programme which aims at individuals groups and the organisation as a
whole. It utilises a considerable number of instruments, enabling
individuals and groups to assess their own strengths and weaknesses.
Blake & Mouton

9. What is MBO?
• Management by objectives (MBO Peter Drucker in
1954) is a systematic and organized approach that
allows management to focus on achievable goals and to
attain the best possible results from available resources.
It aims to increase organizational performance by
aligning goals and subordinate objectives throughout the
organization. Ideally, employees get strong input to
identify their objectives, time lines for completion, etc.
MBO includes ongoing tracking and feedback in the
process to reach objectives.
• Integrating Individual with Organisation and then
Organisation with environment

10. The Five-Step MBO Process

11. Strategic Interventions
1. Integrated Strategic Change
2. Mergers and Acquisitions
3. Alliances and Networks
4. Culture Change
5. Self-designing Organizations
6. Organization Learning and Knowledge Management

12. 8 Key Result Areas Where Managers Must Pursue
Clear Objectives
1. Marketing
2. Innovation
3. Human Organisation
4. Financial resources
5. Physical resources
6. Productivity
7. Social responsibility
8. Profit requirements

13. MBO Advantages & Disadvantages
Advantages
1. MBO programs continually emphasize what should be
done in an organization to achieve organizational goals.
2. MBO process secures employee commitment to
attaining organizational goals.
Disadvantages
1. The development of objectives can be time consuming, leaving
both managers and employees less time in which to do their actual
work.
2. The elaborate written goals, careful communication of goals, and
detailed performance evaluation required in an MBO program
increase the volume of paperwork in an organization.

14. PROCESS OF ORGANISATIONAL DEVELOPMENT
1. Initial Diagnosis
2. Data Collection
3. Feedback and
confrontation
4. Selection and
design of Intervention
5. Implementation of
Intervention
6. Action plan and problem solving
7. Team Building
8. Intergroup development
9. Evaluation and follow up

15. Learning Organisation
• An organization that has developed the continuous
capacity to adapt and change
• Single-loop learning – when errors are detected, the correction process relies
on past routines and present policies
• Double-loop learning – when an error is detected, it’s corrected in ways that
involve the modification of the organization’s objectives, policies and standard
routines
• How to make a firm / Managing a learning organisation
1. Establish a strategy
2. Redesign the organization’s structure
3. Reshape the organization’s culture

16. Characteristics of Learning Organization

17. Managerial implication of Organisation
Change and Development
1. A manager must understand the origin and
consequences of Change
2. How to handle change
3. Human relation and mutual confidence
4. Emulate change in self
5. Learn to handle resistance
6. Realise and understand the steps of change
7. Organisational Effectiveness