INTRODUCTION

WHAT IS OD?
Beckhard defines Organization Development (OD) as "an effort, planned, organization
wide, and managed from the top, to increase organization effectiveness and health
through planned interventions in the organization's processes, using behavioral-science
knowledge."
In essence, OD is a planned system of change.
 Planned - OD takes a long-range approach to improving organizational performance
and efficiency. It avoids the (usual) "quick-fix".
 Organization-wide - OD focuses on the total system.
 Managed from the top - To be effective, OD must have the support of top
management. They have to model it, not just espouse it. The OD process also needs
the buy-in and ownership of workers throughout the organization.
 Increase organization effectiveness and health - OD is tied to the bottom-line. Its
goal is to improve the organization, to make it more efficient and more competitive by
aligning the organization's systems with its people.
 Planned interventions - After proper preparation, OD uses activities called
interventions to make system wide, permanent changes in the organization.
 Using behavioral-science knowledge - OD is a discipline that combines research and
experience to understanding people, business systems, and their interactions.

What is an OD Intervention?
The term Intervention refers to a set of sequenced, planned actions or events intended to help
an organization to increase its effectiveness. Interventions purposely disrupt the status quo;
they are deliberate attempts to change an organization or sub-unit toward a different and more
effective state.
Organization development interventions refer to various actions, activities and events
proposed and performed for improving organizational performance through enabling
members in behavioral aspects, strengthening their work groups, and improving
organizational culture. In other words, OD interventions also referred to techniques and
strategies, are designed to accomplish specific objectives. Interventions are carefully planned
and designed to bridge the gaps in the organization. OD interventions differ from
standardized programs and their plans and actions are tailored to a specific organization or
department to reap out full advantage of changes.

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Meaning:
OD Intervention refers to various activities which a consultant or client organization perform
for a improving organizational performance.

Definition:
“OD is the set of structural activities in which selected organization units (target groups /
individuals) engage with task or sequence of task, where the task goals are related directly or
indirectly to organizational improvement.”
-French Bell
Criteria for Effective Interventions
In OD three major criteria define the effectiveness of an intervention:
1. The Extent to which it (the Intervention) fits the needs of the organization.
2. The degree to which it is based on causal knowledge of intended outcomes.
3. The extent to which the OD intervention transfers change-management competence to
organization members.

CHARACTERISTICS OF OD INTERVENTION:
 Goal Specific – This refers to the extent to which intervention goals are specific
rather than broad.
 Programmability – This involves the degree to which the change can be
programmed.
 Level of change target – This refers to the extent to which the target is the total
organization rather than a departmental or small work group.
 Internal Support – This refers to the degree to which there is an internal support
system to guide the change process.
 Sponsorship – This is concerned with the presence of a powerful sponsor who can
initiate, allocate & legitimize resource for the intervention.
 It improves the organization’s problem-solving ability and decision- making skills.
 It results in effective interpersonal relationships.
 It helps understand inter-group communication and remove barriers.
 It provides a useful way for the group to examine interpersonal issues.
 It provides a useful platform for the employees to get involved in their OD
programme.
 It increases the probability of occurrence of collaborative behaviour.

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KEY ISSUES IN SUCCESSFUL IMPLEMENTATION OF OD
INTERVENTION:
a) Support of Top Management: This is the first & most essential requirement of
introducing any OD intervention. It should have the backing of top management.
Without the support of top management, any OD intervention is likely to fail & thus
lead to wastage of time, resources & energy.
b) Identification of Objectives of Change: The management should carefully analyze the
external & internal forces demanding change in the organization. After this, it is
essential to lay down the objectives of change. Clarity about objectives of change will
help in planning strategies of change.
c) Determination of the Elements to be changed: After identification of objectives of
change it is necessary to determine the elements which require to be changed. Change
may be required in task, technology, structure & people.
d) Adequate Planning: Planning of change involves finding answers to the following
questions such as:
 When to bring about change?
 Who will be affected by change?
 How to introduce change?
 Who will introduce change?
The timing of introducing change must be favorable to the organization otherwise the
whole exercise will become useless or ineffective.
e) Workers’ Participation: The management should discuss the proposed change with
the sub-ordinates. Participation will give the people involved a feeling of importance.
f) Effective Communication: There should be effective two way communication in the
organization. Managers at the various levels should pass on necessary information to
their sub-ordinates. Feedback should be encouraged to know the reactions of the sub-
ordinates.
g) Effective Leadership: During the implementation stage the management should
provide effective leadership to the workers & act as a facilitator of change. Those who
co-operate in introducing the change must be encouraged through incentives. The
management can also use group dynamics for the introduction of change.
h) Congenial Organizational Climate: OD intervention can bring about the desire
change if there is congenial climate in the organization. There must be an atmosphere
of open communication, mutual trust & collaboration in the organization. Both
management & workers should trust each other.
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FACTORS THAT IMPACT THE SUCCESS OF OD
INTERVENTION:
I. Factors relating to Change Situation:
These relate to the environment of the organization and include the physical and human
environment.
1) Readiness for Change: Intervention success depends heavily on the organization being
ready for planned change.
2) Capability to Change: Managing planned change requires particular knowledge and
skills including the ability to motivate change, to lead change, to develop political
support, to manage transition, and to sustain momentum.
3) Cultural Context: The national culture within which an organization is embedded can
exert a powerful influence on members’ reactions to change, and so intervention design
must account for the cultural values and assumptions held by organization members.
4) Capabilities of the Change Agent (OD Consultant): The success of OD interventions
depend to a great extent on the expertise, experience and talents of the consultant.

II. Factors Related to the Target of Change:

These relate to the specific targets at which OD interventions are targeted. The targets of
change can be different issues of the organization and at different levels.

A. Organizational Issues
a) Strategic Issues: Strategic issues refer to major decisions of organizations such as
what products or services to offer, which markets to serve, mergers, acquisitions,
expansions, etc.
b) Technology and Structure Issues: These refer to issues relating to how organizations
divide their work amongst departments and how they coordinate between
departments.
c) Human Resource Issues: These issues are concerned with attracting competent
people to the organization, setting goals for them, appraising and rewarding their
performance, and ensuring that they develop their careers and manage stress.
d) Human Process Issues: These issues have to do with social processes occurring
among organization members, such as communication, decision-making, leadership,
and group dynamics.

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 B. Organizational Levels
OD interventions are aimed at different levels of the organization: individual, group,
organization and trans-organization (for example different offices of the organization
around the globe; or between organization and its suppliers, customers, etc.)

CLASSIFICATION / TYPES OF OD INTERVENTION TECHNIQUES:

Organizations functions at various levels: individual, group and organization as a whole. For
example, a number of interventions affect mainly individuals and group, whereas others
impact primarily the total organization. There is considerable overlapping in OD
interventions because a particular intervention may be used for more than one target. So, OD
interventions should be designed in a manner that the integrated effect of all the interventions
must be an absolute overall organizational impact.

Organizational Development Intervention techniques principally focus on 4 main

categories/Levels:

1. Individual or Interpersonal Level.

2. Team or group level.
3. Intergroup level.
4. Total organizational system level.

1. Individual or Interpersonal Level Interventions:

Individual level interventions are also known as inter personal interventions as they occur
directly between the change agent and the individuals on a one-on-one basis, and may take
any of the forms represented in the figure below.

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 1) Coaching and Mentoring: It is basically face to face and one-on-one interaction
between the OD consultants and their clients. Managers and consultants clarify goals at
each and every level in the organization, deal with prospective gaps and blocks, and help
them in improving their performance. This technique helps individuals and groups in
performing their job better and effectively, by promoting a feeling of self learning and
growth.
2) T-Group / Training Group: T-Group (Training Group) training is a training
approach based on experiential learning and involving small, unstructured groups in
which participants learn from their own interactions and evolving group dynamics, about
interpersonal relationships, group dynamics and leadership.

T-Group training is generally used either for gaining a deeper understanding of self and
personal growth or exploring group dynamics and the relationships between members as
a strategy for team building interventions within organizations. Participants have
reported an improvement in their interpersonal relationships and leadership performance
as a result of training group.
T- Group has evolved from laboratory training research of Kurt Lewin. It focuses on
what, how& why of interpersonal communication.
Goals of T- Group:
 To increase understanding about one’s own behavior & the behavior of others
 To increase interpersonal diagnostic skills.
 To increase ability to transform learning into action.
3) Sensitivity Training / Laboratory Training: One of the popular techniques in
Organizational Development is sensitivity training. It is a method of changing an
individual’s behavior through unstructured group interaction. Sensitivity training focuses
on small group of 10 to 12 people, assisted by a professional trainer who acts as a
catalyst or facilitator for the group. All participants are not well known to each other,
they may be from different departments or from different organizations. There is no
specified agenda for the discussion. Trainer has the role of merely creating an
opportunity for all the group members to express their ideas and feelings freely. Since
the trainer has no leadership role to play, the group must work out its own methods of
proceeding. A leaderless and agenda-free group session goes on and they can discuss
anything they like. As all the members of the group engage in a channel, they learn more
about themselves and their originality as they interact with others. The primary focus is

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 on reducing interpersonal resistance. Sensitivity training is sought to help individuals
towards better understanding of themselves and their behavioral aspects.

4) Career Planning: Organizations should keep track about the performance and
progress of all the professionals working in their organization. Counseling sessions
should be organized to help them to identify their potential areas and deficiencies in their
skills. Organizations must inform them with the knowledge of the existing or future
opportunities and growth avenues that they may pursue. Organizations should also let
their people be familiar with the type of system in which they are working and the ways
of realizing the growth possibilities.

5) Stress Management: These mainly include Employee Assistance Programs (EAPs).

EAPs are counseling programs that assist employees identify their stress level and causes
for that. Stress, a normal phenomenon, could take the form of work stress, or arise
because of financial problems or family problems, or any other type of concern which
continuously bothers an employee for long. It might lead to nervous disorder or have a
negative impact on the job performance. Stress management programs assist workers and
enable them to manage the pressure and anxiety at workplace. These programs help
workers in identifying the type of stress, level of stress and the techniques by which they
can handle their stress effectively. For example, taking responsibility, avoiding pitfalls,
better communication skills decrease role conflict and ambiguity at work, and taking
small breaks between continuous work schedules can be worked upon to reduce stress
and anxiety.

6) Managerial Grid: Blackhard & Mouton develop a multi step training to cultivate
these skills & in turn improves organizational performance. Managerial Grid
Organizational Development, a revolutionized model most widely uses approaches to
system-wide planned development. This technique is a methodical approach aimed at
achieving corporate excellence. It is a comprehensive and systematic development
programme which targets at individual, groups and organization as a whole. Grid
Organizational Development starts with individuals and their behavioral patterns,
particularly the managerial and leadership styles of executives. Then this program moves
through a series of phases involving the work team, the relationships between groups or
subgroups, and finally the overall organization, its work environment and the overall
culture.

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 According to the Grid training, an individual’s style can be judged according to their
concern for production (planning) and concern for people (communication). Concern for
production includes variety of issues such as offering creative ideas and way-out, making
quality policy decisions, high-quality services and accomplishing productive tasks. A
concern for people encompasses a variety of areas including concern for good working
conditions, a degree of commitment towards job, job security, job satisfaction and good
relationships with peers.

By showing a high concern for both people and production, managers allow employees
to think creatively and influence the organization, thus promoting active support for
organizational plans. Employee participation means that better communication is critical
and all necessary information should be shared by all concerned parties. Moreover, better
communication means self direction and self control, rather than blind obedience. So,
this managerial style is most effective in overcoming the communication and production
barrier to corporate excellence.

7) Management by Objectives (MBO): Part of Management Development, this

technique is also successfully used in Organizational Development as a method of
reviewing and assessing performance. Management by Objectives implies clearly
pinpointing the goals of the organization and assigning them to managers. Their
responsibility is to deliver results in a time efficient manner.
This result oriented technique is meant to promote the joint effort of team leaders, laying
the grounds for an excellent appraisal system. The accomplished objectives will be used
to measure the performance of the managers.
The Management by Objectives technique is generally carried out in four essential steps:
 Objectives set by top management.
 Individual targets and objectives.
 Autonomy in choosing strategies.
 Performance review and appraisal.

8) Job Enrichment: Job enrichment is currently practiced all over the world. It is based
on the assumption in order to motivate workers, job itself must provide opportunities for
achievement, recognition, responsibility, advancement and growth. The basic idea is to
restore to jobs the elements of interest that were taken away. In a job enrichment
program the worker decides how the job is performed, planned and controlled and makes
more decisions concerning the entire process.

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 9) Job Redesign: It means restructuring the elements of job including tasks, duties and
responsibilities, in order to make the job more encouraging and stirring for the
employees. The process includes job enrichment i.e. revising, analyzing, altering,
reforming and reshuffling the job-related contents and dimensions. This increases the
variety of assignments and challenges in the assignment to motivate employees and make
them feel as an indispensable part of the organization. The main objective of redesigning
a particular job is to place the right person at the right job and get maximum productivity
out of them, while increasing their level of satisfaction and pride.

2. Team or Group Level Interventions:

The interventions described above for individual or interpersonal level can be applied at
group level or even at the organizational level for that matter. However, there are some
specific interventions for team or group level that are more appropriate as they focus on the
team or group synergy. Some of them are shown in the figure below:

a) Team Building: Team Building as an OD intervention is based on the concept of

synergy creation for streamlining organizational resources and for improving
organizational performance. The main objective of this is to get members of different
work group to diagnose work processes, recognize deficient areas and screen out
productive work flow. It, however, includes assessment of various work group’s task,
their member’s roles, and contribution to the main objective. Here, outside consultants or
organizational development teams act as a resource or key person offering expertise
related to the group’s task and issues. This process targets towards minimizing the
differences among individuals and their perception towards each other and to exchange

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 feelings they possess for each other. This intervention procedure focuses on work groups
to be more effective and efficient and contribute their fullest towards organizational
improvement. Team Building develops effective communication, encourage member’s
interaction and also mutual interdependence.

b) Process Consultation: The basic content of this intervention focuses on human

relations and social dynamics occurring in various work groups. Process consultation
philosophy argues that each individual and work group possess their own style of
working and accordingly have command over their processes also. So, if any problem
arise, they should step forward towards analyzing the problem, diagnose it properly and
try to find out a solution. Here, consultants and mangers should act as mentors or
facilitators only, aiding them in this overall process. Process consultation is a self
development approach focusing on empowering individuals and groups.

A process consultant is a highly qualified professional that has insights into and
understands the psychosocial dynamics of working with various client systems such as
whole organizations, groups, and individuals.

Given the complex nature of intervening, a process consultant expertise includes the
following (and many other) aspects:

 works dominantly with groups and individuals (managers/directors) towards a larger

change process such as strategic visioning, strategic planning, etc.

 based on the context, selects from a variety of methods, tools and change theories a
'facilitative intervention' that will most benefit the client system;

 stays aware of covert organizational processes, group dynamics, and interpersonal

issues;

Schein defines process consultation as, “The creation of a relationship that permits the
client to perceive, understand, and act on the process events that occur in (her/his)
internal and external environment in order to improve the situation as defined by the
client.”

The process consultant does not offer any type of expert assistance, rather it facilitates the
process and guide workgroups to develop relationships, understand their internal
processes and linkages, helps them diagnose the way they are carrying out their every
day jobs, and develop techniques to overcome small issues.

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 Process consultation primarily deals with five important interpersonal and group processes:

1. Effective Communications,

2. Clear cut functional roles,

3. Problem solving and decision making skills,

4. Group norms and Group Dynamics,

5. Effective leadership and proper match of authority-responsibility.

c) Quality circles: This technique requires up to a dozen team members to come

together on their own accord in order to discuss important work related issues and come
up with efficient solutions that can be implemented by the management team. The
method that has its roots in the 60s is meant to be carried out once a week during
working hours. Any team member who feels they can bring their contribution is free to
join the discussion.

Quality circles have been shown to heighten moral, reduce costs and boost quality in the
working environment. All the success of the technique is owed to the effort of the
participants who are willing to devote their time in order to pitch solutions and join
forces to fix problems.
d) Brain Storming: This Organizational Development technique involves six to eight
managers coming together and pitching ideas for solving a problem. Brain Storming
aims to promote creative thinking, whilst bringing team leaders together and helping
them engage in a lucrative discussion of fixing a common issue. The participants are
required to critically assess the matter that is put forward. They are then asked to
contribute new ideas or new angles on tackling the conflict. The principle behind brain
storming is that managers come together and build a plan based on all of their
suggestions. No expert conducts the discussions, which encourages all leaders to speak
freely and make suggestions. The brain storming technique is meant to get participants to
debate potential solutions and choose the best ones. All of this is done in a safe
environment where members can express themselves freely.

e) Role Negotiation Technique: Another technique for effective team building

developed by Roger Harrison is called the Role Negotiation Technique. Sometimes
people in a team are unwilling to change because it would mean a loss of power or
influence to the individual. This resistance to change causes team ineffectiveness. Role
negotiation techniques are often used to great advantage in such situations.

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 The Role negotiation technique is an imposed structure for controlled negotiations
between two or more parties in which each party agrees in writing to change certain
behaviours in exchange for changes in behaviour by the others. The behaviours are job
related.
According to Harrison this technique is based on one basic assumption “Most people
prefer a fair negotiated settlement to a state of unresolved conflict and they are willing to
invest some time and make some concessions in order to achieve a solution.”

The following steps are involved in this technique:

(i) Contract Setting:

In this step, the consultant sets the climate and establishes the ground rules.
Some of these rules can be:
(a) Look at the work behaviours, not the feelings of the people.
(b) Be specific in stating what you want others to do. You want them to do more or do
better or do less or stop doing or maintain unchanged.
(c) All expectations and demands must be written.
(d) The change must be reciprocal, the other person must agree to the change also.
Thus, the session will consist of individuals agreeing with each other to arrive at a
written contract of what behaviours each will change.
(ii) To Issue Diagnosis: The next step is to prepare and issue the diagnosis. In this step,
the individuals will perceive how their own effectiveness can be improved, if others
change their work behaviour. Then each person fills out an issue diagnosis form for
every other person of the group. On this form the individual states what he or she would
like the other to do more of, do less of or maintain unchanged. Their messages are then
exchanged among all members and the messages received by each person are written on
a chalk board or newsprint for all to see.
(iii) Influence Trade or Negotiation Period: In the negotiation period, the two
individuals discuss the most important behaviour changes they want from the other and
the changes they are willing to make themselves. Each person must give something to
receive something. This step is demonstrated by two individuals while the rest of the
team members watch. Then the group breaks into negotiating pairs. The negotiation ends
when all the parties are satisfied that they will receive a reasonable return for whatever
they are agreeing to give. All agreements are written with each party having a copy. The
influence trade step is concluded when all the negotiated agreements have been made
and written down.

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 (iv) Follow-up Meeting: After all the agreements have been made, it is best to have a
follow up meeting to determine whether the contracts have been honored and to assess
the impact of the contracts on effectiveness. Harrison’s technique is a very effective way
of bringing about positive improvement in a situation where power and influence issues
are working to maintain an unsatisfactory status-quo. It is based on the fact that
frequently individuals must change their behaviors for the team to become more
effective. Depending upon the circumstances of each case, many other techniques can be
used by the teams for team building.

f) Role Analysis Technique:

The role analysis technique also Known as RAT clarifies the role expectations and
obligations of team members to improve team effectiveness. The individuals have to
fulfil different specialized roles in organisations, in each role they have to manifest
different behaviours. This specialization resulting from division of labour helps in
improving organisational performance. But sometimes the individual members do not
have the role clarity.
They do not know what types of behaviours are expected of them by others. They also do
not understand how the others can help them in fulfilling their specialized roles. The role
analysis technique tries to clarify the role of individual members in an organisation. This
technique is particularly useful in case of new teams, but it may also be helpful in case of
established teams where role ambiguity or confusion exists.
Role analysis technique consists of a series of structured steps, in which role incumbents
(the individual concerned) in conjunction with team members define and delineate role
requirements. The role being defined is called the FOCAL ROLE. In a new organisation,
it is desirable to conduct a role analysis for each of the major role.
The steps involved in this technique are as explained below:
(i) Analysis of Focal Role:
The focal role individual initiates the analysis of focal role in the first step. The important
points to be discussed are the role, its place in the organisation the purpose of its
existence, its place in achieving the overall organisational goals, specific duties of the
office etc. The specific duties and behaviours related to that role are listed on a chalk
board and discussed by the whole team. Till the role incumbent and the entire team,
satisfactorily define the role completely, additions and deletions will be made from the
roles and behaviours.
(ii) Focal Role Incumbent’s Expectations of Others

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 In the second step, the focal role incumbent’s expectations of the others are examined.
The incumbent makes a list of his or her expectations of the other roles in the group that
affect the incumbent’s role performance. The entire group then discusses these
expectations, modifies these, makes any additions or deletions and finally agree’ upon
the list.
(iii) Others Expectations and Desired Behaviour of the Focal Role:
In the third step, the members of the group describe what they want from and expect
from the incumbent in the focal role. Again these expectations are discussed, modified
and agreed upon by the group and the focal role person.
(iv) Preparation of the Role Profile:
After the conclusion of the third step, the focal person will assume the responsibility of
making a written summary of the role as it has been defined. This summary is called the
role profile and is based on the results of the discussion in the above steps. Role profile
provides a comprehensive understanding of each individual’s role in the team.
(v) Review of the Role Profile:
The written role profile prepared hi the previous step is briefly reviewed in the following
meeting of the team. Till one role profile is reviewed, no other focal role is to be
analyzed. After the review, the accepted role profile constitutes the role activities for the
focal role person.
Role analysis technique is a very effective method of team building. Role analysis and
definition by the entire group not only clarifies who is to do what but also ensures
commitment to the role once it has been clarified. In reality, we have often heard people
complaining “Why those other people are not doing what they are supposed to do?”
Whereas in reality all the incumbents are performing as they think they are supposed to.
RAT examines the mutual demands, expectations and obligations of interdependent team
members, which have never been examined earlier.

g) Third Party Consultation: Third party consultation is a small group, problem-

solving method for the study and resolution of social conflict. A statement of the major
components of the method is followed by a review of studies involving intergroup
conflict resolution in organizational, community and international settings. A number of
theoretical issues are identified. Although the wide variety of practical applications are
promising, the underlying theory is assessed to be rudimentary, and the supporting
research lacks rigor and sophistication. Recommendations for future studies are coupled
with a caution against prematurely assuming that the efficacy of the method has been

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 adequately demonstrated. The scientist/-practitioner union is essential to developing an
effective social technology of intergroup conflict resolution.

h) Goal Setting : Each division in an organization sets the goals or formulates the plans
for profitability. These goals are sent to the top management which in turn sends them
back to the divisions after modification . A set of organization goals thus emerge there
after.
It describes a wide array of different methods for establishing individual and
organizational goals, comparing performance against them & periodically setting new
goals. Sub-ordinates should be slowed to participate in goal setting.

i) Total quality management (TQM): Total quality management (TQM),

sometimes called continuous quality improvement, is a combination of number of
organization improvement techniques and approaches, including the use of quality
circles, quality control, statistical process control, self-managed teams and task forces,
and extensive use of employee participation. Much of the impetus for TQM has come
from a growing awareness by American executives of the critical need for American
corporations to compete on a global scale. In particular, it has become obvious that it is
necessary to compete with the Japanese who have had great success in managing quality.
The following features tend to characterize TQM. This list is largely based on total
quality conferences held in the United States and abroad by the Conference Board and on
a special issue of Business Week entitled The Quality Imperative.
 Primary emphasis on customers- The development of an organizational culture
in which employees at all levels, including the CEO, give paramount treatment to
customer needs and expectations.
 Daily operational use of the concept of internal customers- Emphasis on the
concept that work flow and internal interdependencies require that organizational
members treat each other as valued customers across functional lines as well as
within units.
 An emphasis on measurement using both statistical quality control and
statistical process control technique- Statistical quality control is a method of
measuring and analyzing deviations in manufactured products; statistical process
control is a method of analyzing deviations in manufacturing processes.

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  Competitive benchmarking- Continuous rating of the company’s products and
practices against the world's best firms including other organizations in other
industries.
 Continuous search for sources of defects with a goal of eliminating entirely-
The Japanese call this Kaizen.
 Participative management- This includes extensive delegation and involvement
and a coaching, supportive leadership style.
 An emphasis on teams and teamwork -Typically this includes self-managed
teams. Cross-functional and multilevel task forces are also used extensively.
 A major emphasis on continuous training- This means learning new and better
ways of doing things and adding new skills. In many organizations it is reinforced
by changes in the reward system, for example, the introduction of skill-based or
knowledge-based pay.
 Top-management support on an ongoing basis -This requires a long-term
perspective and a long-term commitment on the part of top management.
 Some version of total quality management is being used in virtually all types of
organizations, for example, electronics, semiconductors, basic metals, chemicals,
automobiles, software development, rail-roads, airlines, insurance, and retail
sales. Organizations as diverse as hospitals and Navy aircraft carriers have
become involved.

3. Intergroup Level Interventions:

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This technique points towards the ability to diagnose and understand inter-group relations
because

(1) one group often works with other groups to achieve their goals on a daily basis;

(2) different groups within the organization often have diverse issues and preferences which
create problems; and

(3) the quality of the interrelationships between different groups can affect the degree of
organizational effectiveness.

Two OD interventions i.e. microcosm groups and inter-group conflict resolution can be
used to resolve the varied issues among them. A microcosm group intervention involves a
small group that includes members or representatives from several groups to solve
organization wide problems. Inter-group issues are explored in this context and then they
develop means to solve at the organizational level. The intergroup conflict model typically
involves a specialist or consultants helping two groups comprehend causes of their conflict or
dysfunctional relationships and then works out appropriate solution to the specific problems.
Together, these two approaches help improve inter-group processes and lead to
organizational efficacy.

1) Third-party intervention / Peace Making: This technique advocates the entry of

third party as the mediator or facilitator among disputants to resolve disagreements.
Mediators take initiative for bringing conflicting parties on a level playing field and clarify
each other’s views. Mediators not only assist discussions, but they also design the
structure or format of progression of conversion between the parties. The mediator tries to
get the disputants to focus on underlying issues (the things they really need or want).By
clarifying the clashing views and opinions, mediators usually convince the parties to
develop a common understanding of the situation, which often yields a solution which
integrates the interests of all parties – a total win –win solution. In this process, mediators
do not have the power to impose a solution. At most, they can only suggest or recommend
a solution, which the disputant’s parties may or may not accept.

In real sense, they try to streamline the whole idea or agenda of meeting in their own way so
that the meeting can move towards some conclusion and parties may develop a sense of
mutual understanding among themselves. They facilitate them with their experiences, expert
advice and professional aptitude and make use of conflict resolutions techniques such as
problem solving, bargaining and conciliation.
Organization Change & Intervention Strategies Page 17
Walton has presented a statement of theory and practice for third party peacemaking
interventions that is both important in its own right and important for its role in OD.
His book is directed towards interpersonal conflict- understanding it and intervening in ways
to control or resolve the conflict.
A basic feature of third party intervention is confrontation: the two principles must be willing
to confront the fact that conflict exists and that it has consequences for the effectiveness of
the two parties involved. The third party must know how, when and where to utilize
confrontation tactics that surfaces the conflict for examination.

Walton lists the ingredients of productive confrontation:

1) Mutual positive motivation
2) Balance in the situational power of the two principals
3) Synchronization of their confrontation efforts
4) Appropriate pacing of the differentiation and integration phases of a dialogue
5) Conditions favoring openness in dialogue
6) Reliable communicative signs
7) Optimum tensions in the situation

2) Intergroup Team Building :

The focus of this team building group of OD is on improving intergroup relations.
OD methods provide ways of increasing intergroup co-operation and communication. Inter-
group team building intervention intends to increase communications and interactions
between work related groups to reduce the amount of dysfunctional competition and to
replace a parochial independent point of view with an awareness of the necessity for

Organization Change & Intervention Strategies Page 18

interdependence of action calling on the best efforts of both the groups. . Conflict
resolution meetings are one common inter-group intervention. First, different group leaders
are brought together to get their commitment to the intervention. Next, the teams meet
separately to make a list of their feelings about the other group(s). Then the groups meet and
share their lists. Finally, the teams meet to discuss the problems and to try to develop
solutions that will help both parties. This type of intervention helps to gradually diffuse
tension between groups caused by lack of communication and misunderstanding.

Blake, Shepard and Mouton has developed activities applicable to stressed situations in the
forms of steps:
STEP 1: The leaders of the two groups meet with the consultant and are asked if they think
the relations between the two groups can be better and are asked if they are willing to search
for mechanisms or procedures that may improve intergroup relations.

STEP 2: The intergroup intervention per se begins now. The two groups meet in separate
rooms and build two lists. In one list they give their thoughts, feelings and perceptions of the
other group- what the other group is like, what it does that gets in their way and so on. In the
second list the group tries to predict what the other group is saying about them in its list- that
is, then try to anticipate what the other groups dislikes about them, how the other group sees
them and so on. Both groups build these two lists.

STEP 3: The two groups come together to share with each other the information on the lists.
Group A reads its list of how it sees group B and what it dislikes about group B. Group B
reads its list of how it sees group A and what it dislikes about it.next. Group A reads its list of
what it expected Group B would say about it, and Group B reads its list of what it thought
Group A would say about it.

STEP 4: The two groups return to their separate meeting places and are given two tasks.
First, they react to and discuss what they have learned about themselves and the other group.
After this discussion, the group is given a second task: to make a list of the priority issues that
still need to be resolved between the two groups. The list is generally much smaller than the
original list. Each group builds such a list.

STEP 5: The two groups come back together and share their lists with each other. After
comparing their lists, then they together make one list containing the issues and problems that

Organization Change & Intervention Strategies Page 19

should be resolved. They set priorities on the items in terms of importance and immediacy.
Together they generate action steps for resolving the issues and assign responsibilities for the
actions. “ who will do what when” is agreed upon for the most important items. That
concludes the intervention.
STEP 6: As a follow-up to the intergroup team-building activity, it is desirable to have a
meeting of the groups or their leaders to determine whether the action steps have in fact
occurred and to assess how the groups are doing on their action plans. This ensures that the
momentum of the intergroup intervention is lost.

3) T-Group / Training Group: T-Group (Training Group) training is a training

approach based on experiential learning and involving small, unstructured groups in
which participants learn from their own interactions and evolving group dynamics, about
interpersonal relationships, group dynamics and leadership.

T-Group training is generally used either for gaining a deeper understanding of self and
personal growth or exploring group dynamics and the relationships between members as
a strategy for team building interventions within organizations. Participants have
reported an improvement in their interpersonal relationships and leadership performance
as a result of training group.
T- Group has evolved from laboratory training research of Kurt Lewin. It focuses on
what, how& why of interpersonal communication.
Goals of T- Group:
 To increase understanding about one’s own behavior & the behavior of others
 To increase interpersonal diagnostic skills.
 To increase ability to transform learning into action.

4) Process Consultation: The basic content of this intervention focuses on human

relations and social dynamics occurring in various work groups. Process consultation
philosophy argues that each individual and work group possess their own style of
working and accordingly have command over their processes also. So, if any problem
arise, they should step forward towards analyzing the problem, diagnose it properly and
try to find out a solution. Here, consultants and mangers should act as mentors or
facilitators only, aiding them in this overall process. Process consultation is a self
development approach focusing on empowering individuals and groups.

Organization Change & Intervention Strategies Page 20

 A process consultant is a highly qualified professional that has insights into and
understands the psychosocial dynamics of working with various client systems such as
whole organizations, groups, and individuals.

Given the complex nature of intervening, a process consultant expertise includes the
following (and many other) aspects:

 works dominantly with groups and individuals (managers/directors) towards a larger

change process such as strategic visioning, strategic planning, etc.

 based on the context, selects from a variety of methods, tools and change theories a
'facilitative intervention' that will most benefit the client system;

 stays aware of covert organizational processes, group dynamics, and interpersonal

issues;

Schein defines process consultation as, “The creation of a relationship that permits the
client to perceive, understand, and act on the process events that occur in (her/his)
internal and external environment in order to improve the situation as defined by the
client.”
The process consultant does not offer any type of expert assistance, rather it facilitates the
process and guide workgroups to develop relationships, understand their internal
processes and linkages, helps them diagnose the way they are carrying out their every
day jobs, and develop techniques to overcome small issues.

Process consultation primarily deals with five important interpersonal and group processes:

1. Effective Communications,

2. Clear cut functional roles,

3. Problem solving and decision making skills,

4. Group norms and Group Dynamics,

5. Effective leadership and proper match of authority-responsibility.

5) Third Party Consultation: Third party consultation is a small group, problem-

solving method for the study and resolution of social conflict. A statement of the major
components of the method is followed by a review of studies involving intergroup
conflict resolution in organizational, community and international settings. A number of
theoretical issues are identified. Although the wide variety of practical applications are
Organization Change & Intervention Strategies Page 21
 promising, the underlying theory is assessed to be rudimentary, and the supporting
research lacks rigor and sophistication. Recommendations for future studies are coupled
with a caution against prematurely assuming that the efficacy of the method has been
adequately demonstrated. The scientist/-practitioner union is essential to developing an
effective social technology of intergroup conflict resolution.

6) Organizational Mirror : It is a set of activities in which a particular organizational

group, the host group gets feedback from representatives from several other
organizational groups about how it is perceived and regarded. This intervention is
designed to improve the relationships between groups and increase the intergroup work
effectiveness.

It is different from the intergroup team-building interventions in that three or more groups are
involved, representatives of other work- related groups typically participate rather than full
membership, and the focus is to assist the host unit that requested the meeting.

Organizational mirroring is a technique designed to get both interdependent groups to see the
perspective of the other side. Appreciating others’ perspectives allows the groups to work
together more effectively.

A popular form of intergroup training is called organizational mirroring, an OD technique

designed to improve the effectiveness of interdependent groups. Suppose that two groups are
in conflict or simply need to learn more about each other and one of the groups calls in a
consultant to improve intergroup cooperation. The consultant begins by interviewing
members of both groups to understand how each group views the other and to uncover
possible problems the groups are having with each other. The groups are then brought
together in a training session, and the consultant tells them the goal of the session is to
explore perceptions and relations in order to improve work relationships. Then, with the
consultant leading the discussion, one group describes its perceptions of what is happening
and its problems with the other group while the other group sits and listens. Then the
consultant reverses the situation—hence the term organizational mirroring—and the group
that was listening takes its turn discussing its perceptions of what is happening and its
problems while the other group listens.

Organization Change & Intervention Strategies Page 22

4. Total Organizational Level Interventions:

At the broad organizational level, interventions like grid training, confrontation meetings
with parties at dispute, re-engineering the technology or the structure of the organization, or
changing the strategy design of the organization can help develop the organization in terms of
its interactions, processes and functioning, thus giving it an edge over competition.

1) Survey Feedback: Survey feedback is a practice of developing and designing

questionnaires relating to various organizational issues and concerns and get them filled
by concerned members of the organization. The basic purpose is to pinpoint the areas
that should be addressed immediately. The basic objective of survey feedback method
is to assist the organization in diagnosing its problems and developing action plan for
problem-solving. It also assists the group members to improve their interpersonal
relationships through discussion of common problems.

The typical process of Survey Feedback includes:

a) Data Collection: The first step in survey feedback is data collection usually by a
consultant or OD team based on a structured questionnaire. The questionnaire may
include different aspects of organizational functioning which may include questions
on leadership, managerial support, peer support and interaction facilitation,
organizational work environment, motivational techniques, level of decision-making,
control within the company, co-ordination between departments, satisfaction level
with the job or pay, etc. The questionnaire is administered personally either by the
members of consulting firm or by organization’s personnel. After this, data is
classified, tabulated, and analysis is done to arrive at some significant conclusions.
b) Feedback of Information: After the data is analyzed, feedback is provided through
group discussion or problem-solving sessions conducted by the consultant.
Alternatively, feedback may be given in the form of a written summary of findings.
Whatever method of giving feedback is adopted, it should be constructive and
evocative. Survey feedback is aimed at identifying weaknesses and gaps between
individuals and organization that may be overcome through follow-up actions, instead
of using the fault-finding technique of criticism.
c) Follow-up Action: Follow-up action pin points the deficient areas and recommend
the participants to develop their own action plans to overcome their problems as

Organization Change & Intervention Strategies Page 23

 revealed through feedback or advocate developing some specific OD intervention
particularly process consultation and team-building, as required.

A survey feedback is not a technique in itself for change; it provides base for an action
for change. Effectiveness of survey feedback depends on two factors. The quality of
questionnaire used and method adopted for its administration should be reliable and
valid. Also, unless a follow-up action, based on the information collected, is taken
even the most valid and reliable information is of no use.

2) Organization confrontation meeting: This technique is usually applied when

organizations are experiencing trauma and/or when management needs to reorganize
their resources for immediate problem solving. This change method mobilizes
organization members to identify the root problems, set action targets, and begin
working on problems. Groups representing all departments of the organization are
appointed and the groups try to identify organizational problems truthfully and
honestly. Each group reports the problems identified by them. The problems are
consolidated and prioritized according to their significance. A tactical action plan for
solving each problem is developed and an appropriate schedule for completing the
process is determined. Schedules for periodic follow-up meetings are also established.

3) Reengineering or Techno-structural intervention: Techno-structural

interventions are rooted in the disciplines of engineering, sociology, psychology and in
the applied fields of socio-technical systems. Increasing global competition and rapid
technological and environmental changes are forcing organizations to restructure
themselves from rigid bureaucracies to more flexible ones. These new forms of
structures are highly adaptive and cost efficient. It basically relates to the organisation’s
basic processes, that is, radical redesigning and rethinking of organization’s basic core
work processes to create flawless linkage and coordination among the various tasks in
the organisation. Reengineering is often accomplished with the use of new information
technology that permits employees to control and coordinate work processes more
effectively. This type of workflow integration results in faster, more responsive task
performance. New technological changes and work culture brings innovativeness,
reduce production defects and leave edge for the company to gain competitive
advantage by changing their core tools.

Organization Change & Intervention Strategies Page 24

 4) Structural Re-design: This intervention points towards the need for restructuring
the organization’s work and different tasks to achieve the objective. Organization
structure describes how the overall work of the organization or main unit is divided into
subunits and how these subunits are linked in the manner that they complete their tasks
effectively and efficiently. Organization structures should be designed in a manner so
that they can properly align themselves with the organization size, organization core
values, technology requirements, external environment and worldwide operations.
Organization effectiveness depends on the extent to which its structures are responsive
to these contingencies.

Interventions aimed at structural redesigning advocate the employees to move from

traditional method of dividing workload and jobs (line organization, line and staff,
functional, matrix form of grouping) to more integrated-flexible and dynamic forms
(customer-centric, network or virtual structures). The more receptive and more dynamic
an organization is, greater is the chance of its survival in the competitive world.

5) Appreciative enquiry: An intervention broader than the appreciation and concerns

exercise is appreciative enquiry, developed by Frank Barrett David Cooperrider and
refined by Gervase Bushe. The major intervention based on the assertion that the
organization “is a miracle to be embraced” rather than “a problem to be solved”. While
interventions have evolved as consultant/researchers have experimented with the
approach, basically the central interventions are interviews and then discussions in
small groups or organization-wide meetings centering on such core questions as:

1. What have been the peak moments in the life of this organization-“when people felt
most alive, most energized, most committed, and most fulfilled in their involvements?"
2. What do staff member’s value most "about themselves, their tasks, and the
organization as a whole?"
3. Where excellence has been demonstrated, "what have been the organizational factors
(structures, leadership approaches, systems, values, and so on) that most fostered
realization of excellence?"
4. What are the "most significant embryonic possibilities, perhaps la-tent with the
system," that indicate "realistic possibilities for an even better organization?"
Researchers, while generally enthusiastic about the contribution that appreciative
inquiry can make in "conditions of intergroup and interpersonal defensiveness," express
the caution that this intervention could become "an unwilling accomplice in the

Organization Change & Intervention Strategies Page 25

 dynamic of group flight.”One of the important aspects is that the approach seems to
generate more attention by the consultant and the client organization to the strengths of
the organization and its members.
6) Action Research: French and Bell have defined action research as follows:
“Action research is the process of systematically collecting research data about an
ongoing system relative to some objective, goal or need of that system, feeding these data
back into the system, taking action by altering selected variables within the system based
both on the data and on hypothesis, and evaluating the results of actions by collecting
more data”.

Thus, action research refers to searching of actions with an objective to help the
organization achieve its goals. Action research involves continuous series of activities to
be undertaken in the organization to find a solution for the problem. Viewed from this
perspective, action research is viewed as a process of OD. Various activities involved in
action research process of OD are presented in Figure.

It is clear from Figure 12.3 that action research model of OD has certain cyclical and
continuous steps. It starts with the perception of the problem in the organization. This sets
stage for intervention by some behavioural consultant to diagnose the problem.

The consultant may be an internal or external one, but needs to be unbiased, realistic and
objective in diagnosing the problem. Data collection is the first step in problem diagnosis.
The required data may be collected either by interview method or questionnaire method or a
combination of both. Once the data is collected, the consultant discusses these data with
executives to diagnose the problem.
Organization Change & Intervention Strategies Page 26
Having identified and diagnosed the problem, the next activity in the action research is to
prepare the organization for appropriate intervention techniques. Feedback based on data
discussion is then made available to larger number of executives to solicit their comments on
it. Then, a planned action is devised but is kept confined to a specific system only. Once the
devised and suggested intervention action is implemented, it becomes necessary to evaluate
its effectiveness.

In case, the intervention turns out to be ineffective, again data is collected discussed and
revised action or intervention is searched out, carried out and evaluated. This process goes on
and on till the organizational goal is achieved effectively.

7) Strategic Interventions: These interventions aim at bringing about an ideal fit

among business strategy, structure, culture, and the worldwide environment. It argues
that business strategies and organizational market moves should be in receptiveness of
external and internal disruptions. A strategic change plan must assist managers to deal
with the transition between a current strategy-design and the desired future strategic
orientation. This intervention addresses the organization’s overall architecture, or the
extent to which structure, work design, human resource practices, and management and
information systems are in alignment and support each other.

It is a systemic view of the organization that attempts to direct member behavior in a

consistent and strategic direction. It also focuses on the concept of Organization
Learning (OL), which seeks to enhance an organization’s capability to acquire and adapt
new knowledge; and Knowledge management (KM), which focuses on how that
knowledge can be structured into improved organization performance. These
interventions provide a platform for organizations to move ahead of concentrating only
on present scenario, rather they empower them with futuristic vision. This intervention
helps organizations to develop distinctive culture (behaviours, values, beliefs, and
norms) suitable with their strategies and environments. It focuses on developing a strong
organization culture to keep organization members pulling in the identical direction.

These interventions link the internal functioning of the organization to the larger
environment and transform the organization to keep pace with changing conditions.
i. Integrated Strategic Change: It argues that business strategies and organizational
system must be changed together in response to external and internal disruptions. A

Organization Change & Intervention Strategies Page 27

 strategic change plan helps members manage the transition between a current strategy
and organization design and the desired future strategic orientation.
ii. Trans organization development: This intervention helps organizations to enter into
alliances, partnerships and joint ventures to perform tasks or solve problems that are too
complex for single organizations to resolve
iii. Merger and Acquisition Integration: This intervention describes how OD
practitioners can assist two or more organizations to form a new entity.
iv. Culture Change: This intervention helps organizations to develop cultures (behaviors,
values, beliefs and norms) appropriate to their strategies and environments.
v. Self-designing organizations: This change program helps organizations gain the
capacity to alter themselves fundamentally. It is a highly participative process,
involving multiple stakeholders in setting strategic directions and designing and
implementing appropriate structures and processes.
vi. Organization learning and knowledge management.
To effectively adapt and thrive in today’s business world, organizations need to
implement effective OD interventions aimed at improving performance at
organizational, group and individual levels. OD interventions involve respect for
people, a climate of trust and support, shared power, open confrontation of issues, and
the active participation of stakeholders. OD interventions are broader in scope, usually
affecting the whole organization (socio-technical systems). OD interventions are
sponsored by the CEO and supported and “owned” by staff at the different levels of the
organization.
OD professionals must have a solid understanding of the different OD interventions to
choose the most appropriate, or “mix and match” them -based on the expected results
and a solid analysis of the organization and its environment.

OD interventions require visionary and participative leadership.

OD interventions are initiated at the top and require employee participation and commitment,
therefore, visionary leaders that work as change agents, developing a vision, and providing
continuous and sustained support is paramount. Kanter, Stein & Jick (1992) consider that OD
interventions require a strong leader role. “An organization should not undertake something
as challenging as large-scale change without a leader to guide, drive and inspire it. These
change advocates, play a critical role in creating a company vision, motivating company
employees to embrace that vision, and crafting an organizational structure that consistently
rewards those who strive toward the realization of the vision”

Organization Change & Intervention Strategies Page 28

WHY DO OD?
 Human resources -- our people -- may be a large fraction of our costs of doing
business. They certainly can make the difference between organizational success and
failure. We better know how to manage them.
 Changing nature of the workplace. Our workers today want feedback on their
performance, a sense of accomplishment, feelings of value and worth, and
commitment to social responsibility. They need to be more efficient, to improve their
time management. And, of course, if we are to continue doing more work with less
people, we need to make our processes more efficient.
 Global markets. Our environments are changing, and our organizations must also
change to survive and prosper. We need to be more responsible to and develop closer
partnerships with our customers. We must change to survive, and we argue that we
should attack the problems, not the symptoms, in a systematic, planned, humane
manner.
 Accelerated rate of change. Taking an open-systems approach, we can easily
identify the competitions on an international scale for people, capital, physical
resources, and information.

WHO IMPLEMENTS OD INTERVENTION STRATEGIES?

Organizational Development is a thorough process that is carried out by professional change
agents. However, the success of the process can only be guaranteed when everyone within the
company plays an active role in the activities: stakeholders, ownership and buy-in members
have to comply with the rules.

OD is usually facilitated by change agents -- people or teams that have the responsibility for
initiating and managing the change effort. These change agents may be either employees of
the organization (internal consultants) or people from outside the organization (external
consultants.)
The effectiveness of Organizational Development requires a strong leadership that has
experience in the process of change management. We strongly recommend that external or
internal consultants be used, preferably a combination of both. ("These people are
professionals; don't try this at home."). Bennis notes that "external consultants can manage to
affect ... the power structure in a way that most internal change agents cannot." Since experts
from outside are less subject to the politics and motivations found within the organization,
they can be more effective in facilitating significant and meaningful changes. A team with an

Organization Change & Intervention Strategies Page 29

Organizational Development certification will take full responsibility for starting and
handling the process.

What will Organizational Development consultants do?

Organizational Development jobs involve a wide array of services that include:

Change management: Involving committees and other departments into the planning and
implementation of high priority changes within the organization (space changes or
reorganization).

Talent Management: Aiding managers accurately evaluate the workforce in order to ensure
the right employees occupy the right jobs according to their skills.

Group problem-solving: Supporting a group in identifying key issues, gathering enough

data about it and drafting plans or decisions to tackle the issue.

Team development: Enabling a team to find ways to work more efficiently together.

Customized training: Helping a group to develop a new set of skills, values or knowledge
that help it get one step closer to the common objective.

Organization Change & Intervention Strategies Page 30

WHEN IS AN ORGANIZATION READY FOR OD?
There is a formula, attributed to David Gleicher, which we can use to decide if an
organization is ready for change:
Dissatisfaction x Vision x First Steps > Resistance to Change
This means that three components must all be present to overcome the resistance to change in
an organization: Dissatisfaction with the present situation, a vision of what is possible in the
future, and achievable first steps towards reaching this vision. If any of the three is zero or
near zero, the product will also be zero or near zero and the resistance to change will
dominate.
We use this model as an easy, quick diagnostic aid to decide if change is possible. OD can
bring approaches to the organization that will enable these three components to surface, so
we can begin the process of change.

DECISION CRITERIA OF OD INTERVENTIONS

Choice of interventions will depend on the extent to which they fit the needs of the client
organizations, the degree to which they are based on the intended outcomes and the extent to
which change management competencies can be transferred to organization members. The
target group of change –individual group or organization will also have to be considered for
the feasibility and relevance of particular set of interventions. More specifically, the decision
criteria to be considered will include the following:

• Result – driven: To what extent the intervention is directed towards achievement of change
goal? What will be the potential results of the intervention?
• Problem- centric: Will the intervention solve the problem already identified?
• Consequences: Are there additional positive outcomes that are likely to result? What are
the likely positive and? Or negative fallouts in terms of consequences.
• Implementation Potential: To what extent the intervention in question can be
implemented smoothly? Can it head to its logical conclusion? What are the constraints likely
to be encountered in the implementation process? Is that a plan for dealing with the constraint
set?
• Cost Benefit Analysis: What are the central costs and human costs involved? What will be
the impact of costs on the client system? To what extent will the benefits in terms of expected
results and their consequences outweigh the direct and indirect costs?
• Acceptability: To what extent is the client organization likely to accept the intervention?
Organization Change & Intervention Strategies Page 31
Will it have a wider acceptance among the target group members?
• Credibility: Does the intervention enjoy high credibility? Has it been adequately tested and
validated? How well has it worked in other organization in achieving change goals without
causing undue disturbance in the system?
• Shard Ownership: Has the intervention been adequately explained and communicated to
members of the client organization? Is there a shared ownership of the intervention by the
consultant and the client target group?

IMPLEMENTATION OF INTERVENTION :

After having made a choice of intervention, it is important to develop appropriate

implementation strategy to ensure its successfully execution. Implementation strategy must
have built-in flexibility to accommodate any variation in the change plan, bee adaptable to
changed conditions, extent of goal attainment and unanticipated consequences, if any.
Implementation of intervention is a learning experience subject to continuous refinement.
Interventions can take many forms depending on the problem that the client group is trying to
solve. Effective implementation will depend on the following factors:

A. An intervention strategy must be formulated with clearly stated long – term and short –
term goals and objectives of change. .

B. Activities to promote learning and change should be structured effectively, this is achieved
by keeping the following point in mind : .

• All relevant people should be included. Client groups should identify problems and
opportunities themselves and generate solutions to their own problems and utilize the
potential inherent in their own opportunities. The goals and strategies for goal attainment
must be clearly stated and shared with very client group. .

• Activities should be structured in such a way that there is a high probability of success.
Goals therefore must be manageable and attainable. Positive feedback regarding success in
goal attainment can work as powerful motivation for the client group. .

• The existing climate in the organization should be such as to facilitate the implementation

Organization Change & Intervention Strategies Page 32

of a particular intervention. In case, the client group is defensive and anxious, additional
interventions for creating a climate conductive to achievement of changed goals must be
through of. .

• The focus should not only b on learning how to solve one particular problem but on
“learning how to learn.” This is achieved by helping the client groups acquire and sharpen
such skills and knowledge as are desirable for solving future problems and managing change.
The intervention should involve not only the process that is how of the problem but also the
content that is, what of the problem. .

• It is necessary to engage the “whole person” in intervention not just the rational/ logical part
of him but also his emotional and spiritual self. It is important that the intervention facilitates
members of the client group to openly express and confront their thoughts, feelings, concerns,
beliefs, assumptions and the paradigm. .

• Conceptual mode of learning as also experiential learning should be included in the

intervention.

C. Intervention activities and their sequencing must be don carefully based on the following
criteria.

• Interventions must be based on sufficient diagnostic data representing the full facts from
multiple perspectives. Insufficient data can lead to inappropriate interventions. Multiple
sources of data are often used to ensure in depth- analysis of the problems. • Interventions
used in the initial phase of the change programme should enhance the effectiveness of
subsequent intervention. The interventions aimed at building motivation, preparedness,
knowledge and competencies required for future change should come first. Experiential
learning to sensitize members of the target group with different needs, attitudes and behavior
with each other should precede other interventions for conflict resolution between individuals
and groups. Sequencing of interventions should be done to maximize efficiency by
conserving time, energy and money. .

• Delay in achieving organizational improvement could lead to loss of momentum and

motivation. There is a need therefore to maximize the speed of intervention programs so that
pre-specified milestones could be achieved. .

Organization Change & Intervention Strategies Page 33

• The related interventions to immediate problems should be taken up first so as to establish
relevance to organization issues. .

• Sequencing of interventions should be done to provide psychological safety to members of

the target group. The choice of intervention should be such that it reduces anxiety and
disillusionment likely to arise due to uncertainties, inherent in any change effort.

RESULTS OF OD INTERVENTION

OD interventions are designed to accomplish specific change objectives. However, in the

process of achieving these objectives, the interventions also contribute to inculcation of
certain values in the client organization. Thus the possible results of OD interventions are as
follows:

• Greater degree of transparency in the system coupled with open exchange or feedback
• Enhanced awareness of changing socio- cultural milieu and dysfunctional nature of norms
currently prevalent in the organization
• High interchange of ideas, opinions and information through increased interaction and
communication
• A culture that encourages science based knowledge , concepts, competencies and attitudes
derived from OD values.
• Increased participation in goal setting, problem solving and brainstorming
• Heightened sense of accountability through responsibility allocation, authority delineation
and performance monitoring
• Increased optimism regarding desirable regarding desirable futures and release of energy in
pursuit of its attainment

Organization Change & Intervention Strategies Page 34

 CASE STUDY ON MICROSOFT
ABSTRACT
A rapidly changing economic environment characterized by globalization, deregulation of
market, changing customer and investor demand and ever increasing competition has become
a real challenge for today’s organization resulting in tremendous pressure on organizations to
generate equally fast responses in order to survive and sustain. Organizational change and
transformation triggered by a relevant shift leads to several intentional and planned change
across organizations which is called Organizational development which aims at overall
organizational health and effectiveness by changing the attitude, beliefs, values and structure
of organization. In the last one decade industries across sectors have tried their level best to
think and act global managing several OD interventions including strategic Interventions, IT
& ITeS sectors are no exception to this change process. It highlight on strategic OD
Interventions in IT sector with special reference to Microsoft.

Strategic Interventions
Strategic interventions can be of utmost importance to create a change within a company as
well its relationship with the external environment. Such interventions can be done through
mergers or acquisitions, a rapid expansion of the market, new or increased competition from
another company or reestablishing relationships with stakeholders.
Kormanik includes under the umbrella of strategic interventions, the following:
mission / vision / purpose, strategic planning and goal setting, visioning / scenario
planning, benchmarking, SWOT, communication audit / strategy, values clarification
and commitment, climate survey and culture change.

M&A as a strategic intervention tool

Merger and acquisitions have been used as a strategic corporate restructuring tool in business
worldwide for a long time dating back in 1897. They are effective tools in the hands of the
management to achieve greater efficiency by exploiting synergies and growth opportunities.
The number of global M&A and the cumulated transaction volume reached a peak level
before the onset of the financial crisis, M&A activity dropped afterwards. In 2011, the level
of M&A activity stabilized at 60,914 transactions and a cumulated transaction volume of US$
3.2bn Firms’ liquidity is strengthened in times of economic prosperity as well as in highly
profitable industries and builds the foundation for M&A intensity. In recent years, a growing
maturity and sector consolidation of the software industry can be observed. A comparison

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among 49 industries discloses that the number of M&A transactions in the software industry
exceeds all other sectors in the U.S. and in Europe.
In terms of cumulated transaction volume, the software industry ranks second in the U.S. and
sixth in Europe. Particularly, recent takeovers of industry giants have reached a remarkable
level. This is illustrated by the takeover of Autonomy by Hewlett-Packard for US$ 10.3bn,
Skype by Microsoft for US$ 8.5bn, and Cognos by IBM for US$ 4.9bn. These acquisitions
accentuate the practical relevance of M&A transactions in the software industry. The
importance of the software industry for the global economy needs also to be considered in
this light. It represents a significant part of the information and communication technology
sector, which contributes 5.4 percent to the global gross domestic product.

Microsoft
Microsoft - born in America, spread across the world with its varied range of product in the
sector of technology such as personal computers and services, computer software and
consumer electronics. Today it is a forerunner in platform building and Productivity
Company and its mission is to empower every person and every organization on the earth to
achieve more. Its product range includes software products such as Windows operating
systems, Internet Explorer, Microsoft Office and Office Suite as well as in communication
through Skype. Its leading hardware products includes the newly introduced Microsoft
Mobile Phones (Lumia Series), Xbox Gaming console and Zune multi media player. It is the
world's biggest software maker by revenue and one of the world's most valuable companies.

LinkedIn
LinkedIn is the world’s major as well as valuable organization in professional networking.
Over the years, the company has launched a many new version of mobile app, enhanced its
newsfeed for better delivery of business insights. In April 2015, it acquired a leading online
learning platform Lynda.com to enter in the online education market. With more than 433
million users’ worldwide subscribers uses LinkedIn to network with professionals, reconnect
with old colleagues and find jobs. LinkedIn also have premium subscription options, which
allows subscribers to avail distinguished services.

Content
Mergers and acquisitions have boomed over the course of the last few decades. From mega-
mergers to the mid-market and smaller scale dealings, the comeback of merger era has
considerably increased. Companies are thriving to acquire vertically or horizontally to

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survive in this competitive market. A historical analysis of M & A transaction reveals that
they often occur in waves and concentrate on specific sectors. In Feb., 2014, Facebook Inc.
acquired WhatsApp Inc. a web based messaging application company for $21 billion. In
Sept., 2013 Microsoft announced its buy of Nokia for $7.2 billion. Acquisition of Skype by
Microsoft and so on. One more time Microsoft has made a valiant move of acquiring a
professional networking site LinkedIn for roughly amounting to $26 billion, bringing the per
share value at $196. On June 13, 2016, Microsoft officially announced its acquisition of
LinkedIn. The deal will not change the LinkedIn’s own brand and independence and the
existing CEO Jeff Weiner. He will report directly to Satya Nadella. "The LinkedIn team has
grown a fantastic business centered on connecting the world’s professionals, together we can
accelerate the growth of LinkedIn as well as Microsoft Office 365 and Dynamics as we seek
to empower every person and organization on the planet." “Nadella said. Boards of both
companies have approved the acquisition and the overall acquisition activity will be furbished
in latter part of the year. The deal is to be proved as “Satya Nadella's First Big Acquisition”.
This is Microsoft CEO Satya Nadella's first major acquisition since he took over the job more
than two years ago. It's clear that it is a big acquisition for Microsoft, both in terms of cash
value and what LinkedIn brings to the company.

Motive
Motive behind the Microsoft’s move was to position itself in the combination with “the
world's foremost professional cloud" together with the "world's leading professional
network."

Prospect Outcome of the acquisition

Microsoft is not sure of how exactly they’ll put this acquisition into implementation. But the
imagination stands towards Microsoft’s intention to boost its social networking presence. It
needs to be after a series of high-profile failures, such as Microsoft’s doomed $6 billion
acquisition of the Nokia mobile business.
Skype, outlook and other Microsoft
products so that, it will be able ‘to recreate the connective tissue for enterprises.’
ly be able to procure the data about every
subscriber’s career and background, it will also gain access to the network of executives and
professionals they know — what folklores would call their “weak ties” and LinkedIn calls

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“the economic graph”. It holds the data which is to be mined for advertisers and licensed to
marketers, further facilitates the sales personnel to pitch the potential buyers.
Excel and searched by Cortana,
Microsoft’s artificial intelligence tool. Weiner also displayed some ideas for how LinkedIn’s
services might get integrated with Microsoft’s such as interlacing LinkedIn’s graph into
Outlook, Calendar, Office, Windows and other Microsoft apps.

Precisely it is how momentous and in what way is still a puzzle to observers. One reason for
the uncertainty is that we don’t know yet what kind of acquisition this is. There can be three
possibilities, each with its own rationale and trajectory.

1. Strategic Remix Model - Acquired assets and capabilities are combined with existing
assets to generate new business or to save costs
This might be what Microsoft is looking for in this acquisition. But the actual interactions are
hard to see, particularly bearing in mind the premium of around $9 billion that Microsoft is
spending over and above LinkedIn’s prevailing market value. Maybe Microsoft is not
pushing hard for the value-creation prospective of this remix because it had paid off a big
failure for them. The company’s 2014 acquisition of Nokia was aimed to generate value by
linking its hardware assets with Microsoft’s software and services. But the things didn’t go
right way. Microsoft terminated Nokia acquisition just a few years later. Whereas, Jeff
Weiner (LinkedIn) assured its employees of all the independence that their acquirer / new
owner will provide to them, just because he had a similar experience in his mind.

2. Private Equity Acquisitions Model - Buying low and hope to sell high after injecting
the business with resources
This acquisition by Microsoft is done entirely by raising new debt. However, Microsoft still
have around $100 billion in its kitty. Motive behind raising fund through debt is the interest
rate flickering near to zero in US and other developed countries. Hence, a companies like
Microsoft can easily get loan at a very cheap cost. While, keeping its cash reserves intact for
use of other activities. Another aspect goes like, the price of LinkedIn, even though bought by
Microsoft at a
spiked price of $196 is still lower than its 52 week high ($258.39). But last year was more of
traumatizing for LinkedIn stock price due to loss making quarters, leading the market prices
to take a dive. This clearly states that Microsoft is surely going cheap buy.

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3. Hybrid Model of strategic remix and the private equity models
Under this model, the acquirer finds the business of acquired company promising and prolific
but yet risky. Here the intention is to keep the acquired businesses moderately autonomous
inflating them with capital and management that may assist them to grow further.

Effect of Acquisition on Stock Performance

LinkedIn shares jumped almost 46 per cent after the announcement of its acquisition by
Microsoft for hefty amount of $26.2 billion in its biggest-ever purchase. Hence, we can
expect a win – win situation for both Microsoft & LinkedIn out of this acquisition.

Critical Analysis
It is found that most of the mergers are done looking for opportunities to acquire key talent,
47% of Senior Management in the acquired firm leave within the first year and companies
experience on average a 50% drop in productivity in the first 6-8 months of the integration.

Conclusion
It is Satya Nadella’s, immense fondness towards cloud computing which might have
motivated him to acquire the LinkedIn, which have a vast network of professionals
subscribed to it. Unlike, Microsoft’s former acquisitions such as that of Nokia, Skype which
didn’t reap most value to it. It will be interesting to see how Microsoft will improve its
existing operations & products in line to that of LinkedIn and make the best out of this
acquisition.

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 CONCLUSION
Interventions are structured activities used individually or in combination by the members of
a client system to improve their social or task performance. They may be introduced by a
change agent as part of an improvement program, or they may be used by the client following
a program to check on the state of the organization's health, or to effect necessary changes in
its own behavior. "Structured activities" mean such diverse procedures as experiential
exercises, questionnaires, attitude surveys, interviews, relevant group discussions, and even
lunchtime meetings between the change agent and a member of the client organization. Every
action that influences an organization's improvement program in a change agent-client system
relationship can be said to be an intervention.

Organizational Development Intervention techniques are generally categorized under four

heads: individual level, group level, intergroup level, organizational level.

OD Interventions include various techniques such as counseling, job redesign, sensitivity

training, career planning, survey feedback, team building, process consultation, third party
interventions, grid training, Organization confrontation meeting, reengineering, structural
changes and many more.

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Bibliography

 Organizational Development - French, W.H., and Bell. C.H(1991).

 Alternative Design of Human organizations.- De,Nitish (1988).
 Developing Effective Organization for Industrial Relations – Abad,
Ahmad (1980).
 Google Scholar.

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