Organizational development is the study which results in organizational change and performance. It is an effective and development tool in which OD projects are developed. OD is a technique that brings an effective change in the whole of the organization rather than focusing on the activities of individuals. The main aim of OD is to enhance the productivity, adaptability, and effectiveness in the organization. The key concepts of organizational development theory include Organizational climate, Organizational culture, and Organizational strategies. It is a systematic and ongoing process which helps in improving the organization’s renewal and problem-solving Further, it is a systematic application of behavioral science knowledge which is applied at various levels of the organization such as - intergroup level, group level, and organizational level.
According to Burke, "Organizational development is a planned process of change in an organization's culture through the utilization of behavioral science, technology, research, and theory".
Different features of Organizational development are –
- Systematic orientations – OD is related to systematic orientations which include the structure, system, technology, and
- Contingency orientation – Contingency orientation comprises of selected actions that are adapted to meet the Organizational’s needs.
- Humanistic values – Organization considers the positive beliefs about their potential employees.
- Problem-solving – Problem-solving is a method in which data is collected, problems are identified, progress is assessed and necessary adjustments are taken out to solve the problems.
- Change agent – Change agent facilitates, stimulates and coordinates the changes that arise in the development of the organization.
- Level of interventions – There are problems that may occur at one or more levels of the organization. To deal with these problems, business requires one or more interventions.
- Experiential learning – The training is not always based on theory and lectures. These should provide experimental learning for the development of the organization.
Organizational Development Process
The organization development process is formulated on the basis of the action research model that initiates with the analyzed problems and issues, which are somehow related to the organizational development or need for the change. The process proceeds initial diagnosis, data collection, data feedback, planning strategy, intervention, team building, and evaluation. The entire process is cyclical and ends while the required development outcomes are obtained. The Organization development (OD) process starts when the organization identifies that the issues and challenges that exist and that impacts the health or mission of the organization. Besides this, it can also start, while the leadership has a vision of an appropriate way and wants to increase the market and business growth of the organization. An organization does not always stay in trouble to accomplish organization development activities. Once the decision is formulated to change the situation, further, the assessment to understand the entire situation will be carried out. This assessment can be formulated in various ways includes surveying, interviewing, focus groups, organizational sensing, or document review. The assessment could be conducted by the external expert or by members of the organization. The type of nature of intervention would be determined by the desired change. The interventions include development and training, team interventions such as for management or team building or the establishment of change teams or employees, individual interventions or structural interventions. Different steps are as follows –
- Initial Diagnosis of the problem – The first step in the organizational development process is the Initial diagnosis of the problem. In this stage, the management tries to find out the overall view of the organization for solving the problems of the organization. Collection of Data –
- Feedback and confrontation of data – in this stage, the consultant meets with various persons and conduct an interview with them in order to collect the information. The consultant makes the surveys in order to determine the behavioral problems of the employees and the climate of the organization.
- Data confrontation and feedback – After collecting the data, the work is assigned to the group of members in the organization. The data will be assigned to those members who will be assigned the job of reviewing the data.
- Planning strategy – The consultants in this stage suggests the strategy for change. Consultant transforms diagnosis of the problem into a proper action plan. This action plan involves the sequence of the detailed scheme and overall goals of the organization.
- Intervening in the system –Intervening in the system refers to a planned and programmed activity which bring change in the system during the course of an Organizational Development program. External consultant intervenes in the system by adopting various methods such as process consultation, laboratory training, and team development etc.
- Team Building – The consultant motivates the group members for doing the work together. They educate the group members about the value of trust and communication.
- Evaluation – The organization development process needs evaluation in order to monitor the tasks. Evaluation helps the organization to make modifications when necessary. The appraisal of change efforts, use of critique sessions and comparison of pre and post training behaviors patterns are most effective for the evaluation of organizational development program.