OD is a system wide application and transfer of behavioral science knowledge to the planned development, improvement, and reinforcement of the strategies, structures, and processes that lead to organization effectiveness.

1. Organizational Development
Sreekanth N

2. Introduction
• OD is a system wide application and transfer of behavioral science
knowledge to the planned development, improvement, and
reinforcement of the strategies, structures, and processes that lead to
organization effectiveness.
• The term organizational development was coined by Richard
Beckhard in the mid-1950s.
• Organization: A social unit of people that is structured and managed
to meet a need or to pursue collective goals.
• Development: The systematic use of scientific and technical
knowledge to meet specific objectives or requirements.

3. Introduction
• Organizational development is...
• organizational wide
• planned intervention
• managed from the top
• aimed at increasing an organization’s health & effectiveness
• using behavioral science knowledge

4. The Need for Development
• Changing nature of the workforce
• Rapidly changing technology
• Economic changes
• Changes in social trends

5. Core values
• Underlying Organization Development are humanistic values such as:
• providing opportunities for people to function as human beings rather than as
resources in the productive process
• providing opportunities for each organization member, as well as for the
organization itself, to develop to their full potential
• seeking to increase the effectiveness of the organization in terms of all of its
goals
• attempting to create an environment in which it is possible to find exciting
and challenging work
• providing opportunities for people in organizations to influence the way in
which they relate to work, the organization, and the environment
• treating each human being as a person with a complex set of needs, all of
which are important to their work and their life

6. Objectives of OD
• To increase the level of inter-personal trust among employees.
• To increase employee's level of satisfaction and commitment.
• To confront problems instead of neglecting them.
• To effectively manage conflict.
• To increase cooperation among the employees.
• To increase the organization problem solving.
• To put in place process that will help improve the ongoing operation
of the organization on a continuous basis.

7. Implications
1.For Individuals
a) Most individuals believe in their personal growth. Even today, training and
development, promotion to the next higher position dominates the
organization philosophy.
b) Majority of the people are desirous of making greater contributions to the
organizations they are serving. Achievements of organizational goals are
however, subject to limitations or environmental constraints. It is for the
organizations to tap the skills that are available in abundance.

8. Implications
• This leads to adopt the following organization strategy for development:
• Ask questions to resolve doubts.
• Listen to superior’s advice.
• Support employees in their venture.
• Accept challenge.
• Leaders to encourage creativity and promote risk taking.
• Give additional responsibility to subordinates.
• Set high standards of quality.
• Empower employees.
• Initiate suitable reward system that should be compatible, if not more than the
industry norms.

9. Implications
2. For Groups
a) One of the most important factors in the organization is the ‘work group’
around whom the organization functions. This includes the peer group and
the leader (boss)
b) More people prefer to be part of the group because the group accepts
them.
c) Most people are capable of making higher contributions to the group’s
effectiveness.

10. Implications
• Following strategy is required to be adopted for group development
based on the above assumptions:
a) Invest in training and development of the group. Money and time spent
on this is an investment for the organization. Leaders should also invest
in development of skills and thus help create a position organizational
climate.
b) Let the team flourish. Teams are the best approach to get the work done.
Apart from the above teams enjoy emotional and job satisfaction when
they work in groups.
c) Leaders should adopt team leadership style and not autocratic
leadership style. To do this, jobs should be allotted to the team and not
to the individual.

11. Implications
d) It is not possible for one individual (leader) to perform both, the leadership and
maintenance functions. It is therefore necessary for team members to assist leader in
performance of his duties.
e) Group should be trained in conflict management, stress management, group decision-
making, collaboration, and effective interpersonal communication. This will improve
organizational effectiveness. Empowerment is the corner stone of the successful
organizations.
f) Leaders should pay particular attention to the feelings of the employees. It should be
understood that suppressed feeling and attitudes adversely affect problem-solving,
personal growth and job satisfaction.
g) Development of group cohesiveness.

12. Implications
3. For Organizations
a) Create learning organization culture.
b) Adopt win-win strategy for sustained growth.
c) Create cooperative dynamics rather than competitive organizational dynamics in the
organization.
d) Needs and aspirations of the employees in the organization must be met. This leads
to greater participation of the employees. Organizations should adopt
developmental outlook and seek opportunities in which people can experience
personal and professional growth. Such orientation creates a self-fulfilling prophecy.

13. Implications
3. For Organizations
f) People must be treated with due respect and considered important. The
credit of success must be given to the employees unconditioned.
g) Promote organizational citizenship.

14. Growth & Relevance
• Three major trends are shaping their relevance of OD in this
drastically changing environment:
• Globalization: It changed the market and environments in which organization
operates as well as the way function. New government, new leadership, new
market, new countries are emerging and creating new global economy with
opportunities and threats.
• Information Technology
• Managerial Innovation: (strategic HRM, organization design, proactivity &
customer focus, learning organizations)

15. Why OD in Indian Settings
• With the opening of economy intense competition from internal &
external corporate
• Indian minds are less systems-driven & more people & relationship
driven
• Indian mindsets are tradition bound, fatalistic and resistant to change
• Tendency to work for short term than long term goals

16. OD PROCESS
• The process of OD is composed of:
• Data gathering and organizational diagnosis- an extensive task in the OD
process. It involves data collection pertaining to a problem area.
• Action intervention - the techniques which are appropriately chosen for use in
implementation stage of the OD process.
• Process maintenance- a management component which ensures the on going
progress to avail the OD benefits in future

17. OD PROCESS - Steps
• There are various steps of OD process but the typical process consists
of the following steps :
• Initial Diagnosis
• Data Collection
• Data Feedback
• Selection of Interventions
• Implementation of Interventions
• Action Planning and Problem Solving
• Team Building
• Inter-group Development
• Evaluation and follow up

18. Organizational Level Diagnosis
Inputs
General
Environment
Industry
Structure
Transformation
Strategy
Design Factors
Culture
Outputs
Performance
Productivity
Satisfaction

19. Group Level Diagnosis
Inputs
Organization
Design
Factors
Culture
Strategy
Transformation
Group
Design
Factors
Outputs
Team
Effectiveness
Productivity,
Satisfaction

20. Individual Level Diagnosis
Inputs
Group
Design
Factors
Personal
Characterist-
ics
Transformation
Job
Design
Factors
Outputs
Individual
Effectiveness
Productivity,
Satisfaction

21. OD APPROACHES
• Techno-structural Approach
• Techno-structural approaches are rooted in the fields of engineering,
sociology, psychology, economics and open system theory.
• Interventions in these areas are intended to effect the work content
and method and to effect the sets of relationships among employees.
• Broadly techno-structural development includes :socio-technical
system perspectives, job design, job enlargement and job enrichment.

22. OD APPROACHES
• Humanistic Approaches
• This orientation to OD is rooted in the academic fields of psychology,
social psychology and anthropology, and in the applied disciplines of
group dynamics and human relations.
• Human process orientation tend to value human fulfilment and
expect improved organizational performance.
• It continues to grow along with the belief that the technology of the
behavioral sciences can be applied to help to cope with a society in
which change, and also maximum utilization of human resources, are
desirable.

23. Intervention Strategies and Techniques
• Behavioral
• Sensitivity Training
• Survey Feedback
• Process Consultation
• Team Building
• Structural
• Redesigning the organization
• Technical
• Redesigning the way work is done

24. Ingredients for Successful Change
• Readiness for change
• High-quality solution
• Solution should be acceptable to members
• Determined by
• Process by which change is introduced
• Adequacy of solution
• Individual resistance
• Systematic resistance

25. Outcomes of OD Efforts
• No change occurred 25% to 50% of the time
• Difficult to measure change accurately
• Criterion selection
• Criterion contamination
• Difficult to overcome resistance to change

26. Overcoming Resistance to Change
• Education and Communication
• Create a vision
• Participation and Involvement
• Facilitation and Support
• Negotiation and Agreement
• Manipulation and Co-optation
• Reward and Coercion

27. Thank you