Growth, Relevance & Characteristics of Organization Development (OD)


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Growth, Relevance & Characteristics of Organization Development (OD)


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Growth, Relevance & Characteristics of OD:

Growth, Relevance & Characteristics of OD Dr. G C Mohanta, BE(Mech), MSc(Engg), MBA, PhD(Mgt) Professor Al-Qurmoshi Institute of Business Management, Hyderabad - 500005

Growth of OD:

Growth of OD Major factors making organizations to grow are: Globalization, Information Technology and Managerial Innovation


Globalization Globalization is the process by which businesses or other organizations develop international influence or start operating on an international scale. Globalization has impact on markets & environments in which organization operates & the way they function The following components have direct or indirect impact: Government policies, New leadership, New market and New competitors These components are emerging & creating new global markets and economy

Information Technology (IT):

Information Technology (IT) All organizations are switching over to IT & traditional approach is being replaced IT is changing how knowledge is used Information that is widely shared reduces the concentration of power at the top of the organization All organization members now share the same key information IT is generating new business models in which communication and information sharing is nearly free

Managerial Innovation:

Managerial Innovation Managerial Innovation has resulted in new organizational forms: Networks, Strategic alliances and Virtual corporations These provide organizations with new ways of thinking about how to manufacture goods & deliver services New methods of change, such as, downsizing and reengineering have emerged Reducing the size of organizations Increasing their flexibility

Managerial Innovation (Contd.):

Managerial Innovation (Contd.) Allowing organisation to take up new large-group programs Organizations are adopting the organizational changes needed to survive & excel in today’s highly competitive environment The organizations are making themselves more organized and more responsive to external demands Employees are involved in key decisions & they are paid for performance rather than for time Employees are taking initiative in innovating and managing change

Relevance of OD:

Relevance of OD Organization Development is playing a significant role in helping organizations: to change themselves to assess themselves & their environments to know exactly where they are lacking to revitalize & rebuild their strategies, structures, and processes to go beyond surface changes and to transform underlying assumptions & values governing organizational members’ behaviours OD has become more responsive and relevant to organizational need to operate effectively in the era of Globalization  

Relevance of OD (Contd.):

Relevance of OD (Contd.) Today, practice of OD comprises unifying concepts and practices based on divergent philosophical orientations One discusses learning prior to change and the other discusses learning after change Experts like Bennis feel that "one must understand an organization in order to successfully change or improve it" Practice of collaborative process among OD consultants and members of organization, are evolving The evolved practice is: analysis, problem solving, action planning and evaluation Differing philosophical orientations provide consultants with opportunities to develop unique approaches to practice of OD  

Characteristics of OD:

Characteristics of OD Organisation Development Focuses on culture Encourages collaboration Involves in problem solving Takes developmental view Focuses on total system change Has long and short term objectives  

Characteristics of OD (Contd.):

Characteristics of OD (Contd.) Organisation Development Is a planned strategy to bring about organizational change Involves a collaborative approach to change Emphasizes on the ways to improve & enhance performance Relies on a set of humanistic values about people & organization. Represents a system approach

Characteristics of OD (Contd.) :

Characteristics of OD (Contd.) Organisation Development Is behavior science based Is a normative approach Is a deliberate interventions in organization Is a normative re-educative strategy Assumes legitimacy of organization & management Uses action research model Uses external consultants

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