2. Organizational development is a
technique used for bringing
change in the entire aspect of the
organization, rather than focusing
attention on the individuals. So
that change is readily absorbed.
According to Burke,
"Organizational development is a
planned process of change in an
organization's culture through the
utilization of behavioural science,
technology, research and theory
Defination of organizational development
3. Characteristics of OD
1. Planned change
2. Encompases the whole organization
3. Long range change
4. System orientation
5. Change agent
6. Problem solving
7. Experiental learning
8. Collaborative Management
9. Group process
10. Contingency orientation
4. Benefits of OD
1) Continuous Improvement – Companies that engage in
organisational development commit to continually improving
their business and offerings. The OD process creates a
continuous cycle of improvement whereby strategies are
planned, implemented, evaluated, improved and monitored.
2) Increased Communication – One of the key benefits to
OD is increased communication, feedback and interaction
within the organisation. The goal of improving
communication is to align all employees to shared company
goals and values.
5. 3) Employee Development – Organisational development
focuses on increased communication to influence employees
to bring about desired changes.
4) Product & Service Enhancement – A major benefit of
OD is innovation, which leads to product and service
enhancement. Innovation is achieved through employee
development, which focuses on rewarding successes and
boosting motivation anda morale.
5) Increased Profit- Organisational development affects the
bottom line in a variety of ways. Through raised innovation
and productivity, efficiency and profits are increased. Costs
are also reduced by minimizing employee turnover and
absenteeism
6. Limitations of OD
1. Major time requirements
2. Substantial expense
3. Delayed payoff period
4. Possible failure
5. Possible invasion of privacy
6. Possible Psychological harm
7. Potential conformity
8. Emphasis on group processes rather than
performance
9. Possible conceptual ambiguity
10. Difficulty in evaluation
7. Organizational development vs Management development
Points of
Difference
Organization development Management development
Scope Includes all parts of organization Includes training of executives and
managers only.
Nature Both qualitative and quantitative
development in involved.
Only qualitative development takes
palace.
Method Important methods are survey,
feedback, grid, conformation etc.
Important methods are case study,
discussion, role playing, T-group
training etc.
Duration Duration is long-term. Duration is short term.
Macro-micro OD is a macro process MD is a micro process.
Part It is not a part of management
development
It is a part of organization
development
8. Md. Abul Hashem
Roll no : 1504001
Reg. no. : 244
Session : 15-16
Dept. of AIs
Islamic University
9. Methods of OD
1. Survey feedback: Information is collected
through survey method. The manager use this
information for making decision
2. Team building: This method is specifically
designed to make improvement in the ability of
employee and motivating them to work together
3. Sensitivity analysis: It is quite popular organizational
development intervention. Under this method,
employees in groups are asked to interact.
4. Managerial grid: The concept of managerial grid
identifies two major dimension of management. They are
people oriented and production oriented.
10. 5. MBO: It is a method ofachieving organizational
objective and a technique of evaluation and review
of performance
6. Brain storming: it is a technique where a group of
5 to 8 managers come together and solve a problem.
7. Process consultation: Under this technique the
consultant or the expert provide necessary guidline as
to how the participant solve hie own problem
8.Quality circle: Under this system a group of 5 to 12
people come together at their own will during
working hours once in a week and discuss out the
problem and suggest solution to the management for
implementation.
11. Akter Hossen
Roll no : 1504028
Reg. no. : 274
Session : 15-16
Dept. of AIs
Islamic University
12. Definition of Organizational Change
Organizational change is the
planned attempt by
management to improve the
overall performance of
individuals, groups and the
organization by altering
structure, behavior and
technology.
According to R,W, Griffin,
”Organizational change is
any substantive modification
to some part of the
organization.
13. Type of Organizational Change
There are basically two types of organizational
change. They are
1. Planned change
2. Unplanned change
Planned change: When organization change occurs
according to the predetermined plan, it is called
planned change. For example a business can change
its business policy for getting extra benefit by
introducing a new product
14. Unplanned change: When organization
change occurs due to certain changing
situation , it is called unplanned change.
For example : Changes in government
regulations and change in econpmy often
lead to organizational change.
15. Forces of Organizational Change
1. People : people are important sources for
change. Present people differ from previous
generation with respect to education,
expectation and value system. These people
have distinct purchasing power that affect
product and service innovation, technological
change and promotional activities.
2. Technology : Technology is changing day by day.
At present, organization is trying hard and soul
to keep with the changing technology.
16. 3. Information processing and communication : Any
change in information processing and communication
will lead to change in organization.
4. Competition : Due to global economy competition
is increasing. As a result it is needed to change in
organization to sustain in global market.
5. Other forces fo changes
a) Environment
b) Economic shocks
c) Social trends
d) Politics & world politics
17. Steps of planned change
1. Recognize the need for change
2. Develop the goals of the change
3. Select a change agent
4. Diagnose the current climate
18. 5. Select an implementation method
6. Develop a plan
7. Implement the plan
8. Follow the plan and evaluate
19. Ways of overcoming resistance to change
1.Education and communication : Resistance
can be reduced through communicating with
employees to help them see the logic of a
change and providing education to them.
2.Participation : Resistance to change can be
reduced when those affected by the changes
are involved in designing it.
3.Building and support and commitment:
Resistance can be reduced by offering a range
of supportive efforts to the employee.
20. 4. Implementing fairly : Most people simply do not
like changes. But one way organization can
minimize the negative impact of changes . It is
make sure that the changes is implemented fairly.
5. Selecting people who accept change :
Organization can reduce resistance to change by
selecting those people who have more positive
attitudes about changes than others.
6. Coercion : The last way of reducing resistance to
change is coercion. It is the application of direct
threats to the resistors
21. Reason for resistance to change
1.Individual resistance : There are five
reasons why individuals may resist changes
are given below :
a) Habit
b) Secruity
c) Economic factor
d) Fear of unknown
e) Selecting information processing
22. Organizational resistance: There are five
reasons why organization may resist changes
are given below :
a) Structural inertia
b) Limited focus of changes
c) Group inertia
d) Threat of expertise
e) Threat to power