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1. Organization Development (OD)
presented by
Meditha KarunatillakaMeditha Karunatillaka
MBA, Dip in HRM, Dip in T & D, AMTD, MHRPMBA, Dip in HRM, Dip in T & D, AMTD, MHRP

2. Definition-what is an organizationDefinition-what is an organization
An organization is the planned coordination An organization is the planned coordination
of the activities of a number of people for of the activities of a number of people for
the achievement of some common explicit the achievement of some common explicit
purpose or goal, through division of labor purpose or goal, through division of labor
and function, and through a hierarchy of and function, and through a hierarchy of
authority and responsibility –(Edgar Shein) authority and responsibility –(Edgar Shein)

3. DefinitionDefinition
Organization Development (OD)Organization Development (OD)
OD is an effort (1) planned (2) OD is an effort (1) planned (2)
organization wide (3)managed from organization wide (3)managed from
the top (4) increase organization the top (4) increase organization
effectiveness and health through (5) effectiveness and health through (5)
planned interventions in the planned interventions in the
organization’s processes, using organization’s processes, using
behavioral science knowledge. behavioral science knowledge.
(Richard Beckhard)(Richard Beckhard)

4. Why Study OD ?
 Can improve individual performance
 Create better morale
Increase organizational profitability

5. Related to OD
•Vision and Mission
•Behavior of the Organization
•Individual Behavior
•Structure of the Organization
•Culture of the Organization

6. WHY DO OD?
•Human resources
•Changing nature of the workplace
•Global markets
•Accelerated rate of change

7. Distinctive Features of OD
•an OD program is a long range, planned and sustained
effort that is based on an overall strategy.
•consultant establishes a unique relationship with the
client system: the consultant seeks and maintains a
collaborative relationship of relative equality with the
organization members

8. OD interventions are..........
• Unique in nature
• Reflexive
• Self-analytical
• Self-skill building in nature

9. Benefits
•It mainly tries to deal with the changes throughout the
organization or in any one of the major units.
•It develops greater motivation.
•It increases productivity.
•A better quality of work.
–It creates higher job satisfaction
–Team work is improved and encouraged
–It finds better solution for conflicts
–Commitment to objectives
–Increases the willingness to change
–Absenteeism is reduced.
–Turnover is lower

10. Limitations
•Organizational development is long-way process
and requires more time.
•It consists of substantial expense, delayed payoff
periods
•Failures are possible
•Possibility for invasion of privacy
•Possible for psychological harms
•It emphasizes only in group process compared to
performance
•Conceptual ambiguity is possible.

11. Elements of the OD process
•Entering and contracting
•Diagnosing ( Organization, groups and jobs)
•Planning and implementing change
•Evaluating and institutionalizing

12. Entering and contracting
•Entering & Contracting are the initial steps in the OD
process
•Entering and Contracting set the initial Para meters for
carrying out the subsequent phases of OD :
–Diagnosing the organization
–Planning & Implementation changes
–Evaluating and Institutionalizing them

13. •Entering into an OD relationship comprises
of three (3) elements- i.e.
- Clarifying the Organizational Issue
- Determining the relevant Clients
- Selecting the appropriate OD Practitioner

14. Clarifying the Organizational Issues
•An Organization generally starts an OD
programme by presenting the problem. i.e. the
issue that caused them to consider an OD
process. It may be Specific,( e.g. :decrease in
market share, increase in absenteeism, Increase
in industrial disputes or General (eg:
Organization growing too fast, needs a rapid
change)
•At this stage, presenting the problem is only a
symptom of an underlined problem

15. Determining the relevant client
•Generally the relevant client includes those organization
members who can directly impact on the change issue.
•Unless these Members are identified and included in the
entering and contracting process, they may with hold
their support for and commitment to the OD process.
•E.g. In trying to improve the productivity of a unionized
plant the relevant client may include union officials as
well as Managers and staff personnel.
•It is not unusual for an OD project to fail because the
relevant client was inappropriately defined.

16. Diagnosing Organization
•Diagnosis is the process of understanding current
functioning of the organization. It will provides the
information necessary for designing change
interventions. It generally follows from successful entry
and contracting.
•This is a collaborative process between organization
members and OD consultants to collect pertinent
information, analyze it and draw conclusions of action
planning and interventions .
•Diagnosis may be aim uncovering causes for specific
problems or it may be directed at assessing the overall
functioning of the organization / department to discover
the areas for future development.

17. Organizational Diagnosis
1.Think of visiting your health
care, computer or auto
mechanic professional. What
is a diagnosis?
2.What does s/he do to diagnose
(Dx) your condition?
3.What are the uses/purposes of
a Dx; What does it allow you to
do?
4.What, therefore, are the
criteria for a sound Dx?
5.How is a diagnosis derived?

18. Planning and implementing change
•In this stage ,organization members and practitioners
jointly plan and implement OD interventions.
•They design interventions to achieve the organization's
vision or goals and make action plans to implement them.
•There are several criteria for designing
interventions ,including the organization's readiness for
change ,its current change capability, its culture and
power distributions and change agent’s kills and abilities .
•Depending on the outcomes of diagnosis, there are four
major types of interventions in OD

19. Comparison of Planned Change Model
Problem identification
Consultation with
Behavioural Science Expert
Data gathering and
Preliminary Diagnosis
Feedback to Key Client of
Group
Joint Diagnosis of
Problem
Joint Action Plan
Action
Data Gathering after
Action
Unfreezing
Movement
Refreezing
Initiate the Inquiry
Inquiry into Best
Practices
Discover Themes
Envision a
Preferred Future
Design and
Deliver Ways to
Create the Future
(A)
Lewin’s Planned
Change Model
(B)
Action Research
Model
(C)
Positive
Model

20. Major Types of Interventions in OD .
•Human Process InterventionsHuman Process Interventions
•Techno structural InterventionsTechno structural Interventions
•Human Resources Management Human Resources Management
InterventionsInterventions
•Strategic InterventionsStrategic Interventions

21. Human Process InterventionsHuman Process Interventions
•CoachingCoaching
•Training and DevelopmentTraining and Development
•Process Consultation and Team BuildingProcess Consultation and Team Building
•Third-party Interventions (Conflict Resolution)Third-party Interventions (Conflict Resolution)
•Organization Confrontation MeetingOrganization Confrontation Meeting
•Intergroup RelationshipsIntergroup Relationships
•Large-group InterventionsLarge-group Interventions

22. Techno structural InterventionsTechno structural Interventions
•Structural DesignStructural Design
•DownsizingDownsizing
•ReengineeringReengineering
•Employee InvolvementEmployee Involvement
•Work DesignWork Design

23. Human Resources Management InterventionsHuman Resources Management Interventions
•Goal SettingGoal Setting
•Performance AppraisalPerformance Appraisal
•Reward SystemsReward Systems
•Career Planning and DevelopmentCareer Planning and Development
•Managing Work Force DiversityManaging Work Force Diversity
•Employee Stress and WellnessEmployee Stress and Wellness

24. Strategic InterventionsStrategic Interventions
•ntegrated Strategic Changentegrated Strategic Change
•Mergers and AcquisitionsMergers and Acquisitions
•Alliances and NetworksAlliances and Networks
•Culture ChangeCulture Change
•Self-designing OrganizationsSelf-designing Organizations
•Organization Learning and Knowledge ManagementOrganization Learning and Knowledge Management

25. Evaluating and Institutionalizing
•The final stage in planned change involves evaluating the
effects of the intervention and managing the
institutionalization of successful change programs .
•Feed back to organization members about the
intervention’s results provide information about whether
the changes should be continued ,modified or
suspended.
•There are several criteria for designing
interventions ,including the organization's readiness for
change ,its current change capability, its culture and
power distributions and change agent’s kills and abilities .
•Depending on the outcomes of diagnosis, there are four
major types of interventions in OD

26. Organizational Development
Techniques
Sensitivity Training
Training groups (T-groups) that
seek to change behavior through
unstructured group interaction
Provides increased awareness of
others and self
Increases empathy with others,
improves listening skills, greater
openness, and increased tolerance
for others

27. Organizational Development
Techniques (cont’d)
Survey Feedback Approach
The use of questionnaires to identify discrepancies
among member perceptions; discussion follows and
remedies are suggested

28. Organizational Development
Techniques (cont’d)
Process Consultation (PC)
A consultant gives a client insights into what is going
on around the client, within the client, and between the
client and other people; identifies processes that need
improvement.

29. Organizational Development
Techniques (cont’d)
Team Building Activities
•Goal and priority setting
•Developing interpersonal relations
•Role analysis to each member’s role and
responsibilities
•Team process analysis
Team Building
High interaction among team members to
increase trust and openness

30. Organizational Development
Techniques (cont’d)
Intergroup Problem Solving:
•Groups independently develop lists of perceptions
•Share and discuss lists
•Look for causes of misperceptions
•Work to develop integrative solutions
Intergroup Development
OD efforts to change the attitudes, stereotypes, and
perceptions that groups have of each other

31. Open Systems Model
Inputs
• Information
• Energy
• People
Transformations
• Social Component
• Technological
Component
Outputs
• Goods
• Services
• Ideas
Environment
Feedback

Source Waddell, Cumming and Worley (2007) Organisation Development & Change. Source Waddell, Cumming and Worley (2007) Organisation Development & Change.
Thomson, South Melbourne AustraliaThomson, South Melbourne Australia

32. Organisation-Level
Diagnostic Model
Inputs



General
Environment
Uncertainty in social,
technological, economic ,
ecological and political
forces
Industry
Structure
Five forces – suppliers,
buyer, threats of entry,
threats of substitutes and
rivalry among competittors
Design Components Outputs

Source Waddell, Cumming and Worley (2007) Organisation Development & Change. Source Waddell, Cumming and Worley (2007) Organisation Development & Change.
Nelson, South Melbourne AustraliaNelson, South Melbourne Australia
Strategy
The way a company uses its resources human
economic or technical to gain and sustain
competitive advantage
Organisation
design
Organisation
performance
Productivity
Stakeholder
satisfaction

33. Goal Clarity
Task Team
Structure Functioning
Group Group
Composition Norms
Design Components Outputs
Organisation
Design
Team
Effectiveness
Group-Level Diagnostic Model
Inputs

Source Waddell, Cumming and Worley (2007) Organisation Development & Change. Source Waddell, Cumming and Worley (2007) Organisation Development & Change.
Thomson, South Melbourne AustraliaThomson, South Melbourne Australia

34. skill Variety
Task
Identity Autonomy
Task Feedback
Significance about Results
Individual-Level Diagnostic Model
Inputs Design Components Outputs
Organisation
Design
Group Design
Personal
Traits
Individual
Effectiveness

Source Waddell, Cumming and Worley (2007) Organisation Development & Change. Source Waddell, Cumming and Worley (2007) Organisation Development & Change.
Thomson, South Melbourne AustraliaThomson, South Melbourne Australia

35. Journey of Life……