challenge and future for od

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Ch-16 The Challenge and the future for Organizations:

Ch-16 The Challenge and the future for Organizations By: Radhika Gandhi

Points to be covered:

Points to be covered The Organization of the Future Monitor and Stabilize Action Programs Emerging Issues and Values Future Trends in Organization Development

The Organization of the Future:

The Organization of the Future The organization of the future will be different from today’s organization. In a world of global competitiveness and technological innovation, organizations are reengineering, restructuring, and flattening the hierarchy to meet market pressures. Leading companies now envision an endlessly changing organization. The new term is reconfigurable--- an organization that is flexible and able to change on an annual, monthly, weekly, daily, or even hourly time frame. There is a continuing need for long-range strategies to improve organizational decision-making and work relationships to meet these changing conditions.


Cont… Just an organizations are in a continuous state of change, so too OD is a continuing process. As one set of change objectives is achieved, new standards of excellence and new challenges arise. As a result, the OD practitioner has two primary criteria of effectiveness: The stability of the OD effort after the practitioner stops working with the client system. The ability of the client system to maintain innovation within the system or the development of a self-renewal capability. Because an OD program is an approach to improving effectiveness, its results have to be evaluated.

Monitor and Stabilize Action Programs:

Monitor and Stabilize Action Programs After an OD Program has been implemented, the emphasis must be placed upon internalizing and stabilizing the changes so that the new behavior becomes part of the organization’s cultural norms. The stage five of OD Model involves three factors: feedback: generating and communicating data to participating members so that they can measure their progress. Stabilizing: freezing the change or desired behavior so that it will be continued. Evaluating: the OD program’s results

Feedback of Information:

Feedback of Information The members of an organization involved in an OD Program need feedback in the results of the change in order to determine whether to modify, continue, or discontinue their activities. Without feedback on the consequences of a change program, the client system may perceive the program as failure or discontinue it. Part of the OD Practitioner’s job is to see that necessary information is available to participating members and groups. The feedback of information can also create commitment among organization members. Commitment to change emerges from open communication and management ability to reinforce new behaviors so that members can see how their contribution affect outcome.

Stabilization of Change:

Stabilization of Change When a performance problem has been corrected and the change objectives have been achieved, some means must be devised to ensure that the new performance level is stabilized. If this is not done, there will be a tendency for the individual or the system to deteriorate and revert to previous ineffective behaviors. As an example, an individual may desire to discontinue some habit, such as smoking, and actually change for a short period of time. However, the change objective is not accomplished if the person begins smoking again six months later. One criticism of laboratory learning is called ‘fade-out’. This occurs when a manager develops new behaviors while at a seminar, but the change erodes away back on the job because the work environment has not changed and is not supportive.


Cont…. One measure of success is whether the change is permanently assimilated into and accepted by the client system. The change program itself may have a stabilizing effect because of its advantages and support. Once a change effort is fully accepted, the change may become institutionalized or internalized by group members. The acceptance and adoption of a change effort depend upon practice and familiarity, so that the innovation becomes a routine part of the organization’s activity. Managers continue to level with one another over on-the-job performance and they are constantly critiquing one another over quality goals.

Evaluation of OD Programs:

Evaluation of OD Programs The need to develop better research designs and methods is a major problem in OD. Many OD Practitioners feel that the evaluation method should be designed into the change process itself. Researchers suggest that OD evaluations will be important in the future for three groups: Organizational Decision-makers; to show them that OD expenditures are providing the desired results. OD participants; to provide feedback about their change efforts. OD practitioners; to develop their expertise and reputations based upon their experiences. The authors point out that the evaluative practice will be determined by three factors: The training of the OD Practitioner The co-operation of the organizational members involved in the effort The willingness of organizational decision-makers to pay for a rigorous evaluation

Termination of the Practitioner-Client Relationship:

Termination of the Practitioner-Client Relationship Termination of the relationship is the final stage of the OD process. Termination may occur when the basic change objectives accomplished. Either the practitioner or the client believes the little more can be accomplished or there is a diminishing rate of return for efforts expended. Disengagement will likely call for a gradual reduction of the practitioner’s help.

Developing a Self-Renewal Capacity:

Developing a Self-Renewal Capacity Self-renewal means building innovation and commitment to change into the organization’s values. The OD program should have developed within the organization an ability to constantly innovate. The self-renewing organization is constantly able to initiate new strategies leading to continue innovation.

Termination and Disengagement from the client system:

Termination and Disengagement from the client system Characteristics of disengagement Both client and consultant mutually agree on reduced involvement Involvement does not drop to zero, but may continue at a lower level. The door is always open for future work. The organizational culture and empowered employees emerge from five steps to successful change: Determine the world standard Use process mapping Communicate with employees Distinguish what needs to be changed from how hard it is to do it Set stretch targets

Conditions Supporting OD’s Success:

Conditions Supporting OD’s Success Organization under pressure to improve. Change begins at top of organization. Top management actively participates. New ideas developed at several levels. Innovation and experimentation used to develop solutions. Beta Testing Results

Emerging Issues and Values:

Emerging Issues and Values OD is a growing, developing, and changing field of study. OD still in transition, which makes it difficult to define what is an OD intervention. Is OD Fad or Discipline? OD has over 40 years of background history. OD appears to be primary method for helping organizations adjust to change. Managers may use interventions as quick fixes. OD required even more as rate of change increases.

Dilemmas for OD Practitioners:

Dilemmas for OD Practitioners Some question OD because ill-defined Lack of evidence for some OD interventions No accreditation program of OD practitioners OD overemphasizes human interventions Difficult for OD to deal with distrust, power, and conflict Limitations of Time and Terminality

Future Trends in OD :

Future Trends in OD Organization transformation (OT) Shared vision Innovation Trust Empowerment Learning organization Reengineering Core competencies Organizational architecture

Macro system Trends in OD:

Macro system Trends in OD Impact of culture change Total resource utilization Centralization vs. Decentralization Conflict resolution Interorganization collaboration

Interpersonal Trends in OD:

Interpersonal Trends in OD Merging line and staff functions Resource linking Integrating quality and productivity Diversity Networking Rewarding

Individual Trends in OD:

Individual Trends in OD Intrinsic worth Change in individuals Effects of thinking Health and fitness Interdependence

The Future of OD:

The Future of OD OD will deal with changing workforce, global competence, and transformation. OD is expanding and vital technology. Need for more studies on OD interventions. OD needs to deal effectively with external systems and power-coercive problems.

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