LEARNING UNIT 5 ORGANISATIONAL DEVELOPMENT - OD INTERVENTIONS - Edited - Ag
LEARNING UNIT 5 ORGANISATIONAL DEVELOPMENT - OD INTERVENTIONS - Edited - Ag
LEARNING UNIT 5 ORGANISATIONAL DEVELOPMENT - OD INTERVENTIONS - Edited - Ag
Table of Contents
5.1 INTRODUCTION, OUTCOME AND ASSESSMENT CRITERIA............................................................ 2
5.7 SELF-ASSESSMENT....................................................................................................................... 24
REFERENCES ...................................................................................................................................... 25
5.1 INTRODUCTION, OUTCOME AND ASSESSMENT CRITERIA
In learning unit 5, we explore the concept of Organisational Development (OD) and how it is applied
as a discipline within Human Capital Management with the aim of improving organisational
performance and the wellbeing of the people. An overview of the OD and the applicable OD
interventions will be provided.
You can also consult additional academic peer-reviewed sources such as journal articles to expand
your knowledge base of various concepts and theories covered in this unit.
Reading
Read Chapter 1 What is Organization Development? by Richard Beckhard In Gallos, J.V and Schein,
E.H. (2006) .Organisation Development. Jossey-Bass. pp 3-12.
Chapter 1 by Cummings, T. G. and Worley, C.G. (2009). Organisation Development & Change,
Reflection
Assess your current company or organisation based on Richard Beckhard views and answer the
below questions:
• Identify and explain at least the five kinds of organisational conditions that call for OD
efforts in your current organisation? Provide reasons for each condition.
Organisational development has its roots in the area of concepts, models, and theories. Some
theorists take an individual viewpoint, others take a group perspective, and still others take more of a
macro view with the total organisation as the frame of reference. Gallos and Schein (2006)
summarised ten theorists’ views by categorising them according to their perspectives and emphases
and according to potential applications of their theoretical approaches.
Reading
Read Chapter 2 Where did OD come from? by W. Warner Burke In Gallos, J.V and Schein, E.H.
(2006). Organisation Development. Jossey-Bass.
Theories and models of OD depict, in words, pictures of the importance features of certain
phenomena, describe those features as variables, and specify the relationships among the variables.
Keep in mind that there is no single, all-encompassing theory for organisational development. Several
mini-theories that help us understand certain aspects of organisational behaviour and OD. Taken
together and comparatively, they become more useful to OD/HC practitioners who must cope with
an ever-changing, complex, total organisation.
Furthermore, open systems theory refers simply to the concept that organisations are strongly
influenced by their environment. The environment consists of other organisations that exert various
forces of an economic, political, or social nature.
Systems Theory
Read Chapter 5, section 5.3 by Cummings, T. G. and Worley, C.G. (2009). Organization Development
& Change, Ninth Edition. Cengage Learning. pp 92-116
Lesson Activity
Based on the open system theory/model, explain how your company/organisation is in exchange
with the external environment, while considering the elements of Inputs, Transformations, and
Outputs, Boundaries, Feedback, Alignment, Environments.
OD interventions can be used to help organisations develop and implement effective strategies. This
may include analysing the organisation's current situation, identifying areas for improvement, and
developing plans and actions to achieve the desired outcomes.
Reading
Videos
List all the contributions and the value add of OD interventions highlighted in the article.
Cummings and Worley (2014) identified the following six main stages of the effective process of OD:
the first stage involves entering and contracting; the second stage involves diagnosing; the third stage
involves collecting, analysing and feeding back diagnostic information; the fourth stage involves
designing interventions; the fifth stage involves managing change; and the last stage involves
evaluating and institutionalising the OD intervention phase.
Figure 5.2: The Six Main Stages of the Process of Organisation Development
Source: Cummings and Worley (2009)
5.3.1 Diagnosis
Diagnosis is the process of understanding how the organisation is currently functioning.
Moreover, this study provides the information necessary to design change interventions.
Reading
Read Chapter 5 from Cummings, T. G. and Worley, C.G. (2009). Organisation Development &
Change, Ninth Edition. Cengage Learning. Pp 89- 121
Videos
Take note
The following content is important to understand in detail, so that you are able to explain,
describe and apply in the diagnostic process.
A. Data collection
Approaches to collecting OD data can include the use of various methods and sources, such as surveys,
interviews, focus groups, observations, documents, reports, and performance indicators. It is good
practice to collect both quantitative and qualitative data to ensure that the data are valid, reliable,
and representative.
B. Data analysis
(i) Qualitative tools
Content analysis involves attempting to summarise comments into meaningful categories.
Additionally, force-field analysis organises information pertaining to organisational change into two
major categories: forces for change and forces for maintaining the status quo or resisting change.
(ii) Quantitative tools
Descriptive statistics, means, standard deviations, and frequency distributions were calculated.
Relationships Between Measures (correlation) computes a correlation coefficient and p-value, which
measure the direction and strength of the relationship between two variables and the significance of
the relationship or the probability that the relationship differs from the null hypothesis that the
variables are unrelated.
Difference tests (T tests) can be used to compare a sample group against some standard or norm to
determine whether the group is above or below that standard. It can also be used to determine
whether two groups are significantly different from each other. The second use of difference tests
involves assessing whether two or more groups differ from one another on a diagnostic variable, such
as job satisfaction or absenteeism. Difference tests can also be used to determine whether a group
has changed its score on job satisfaction or other variables over time. The same questionnaire can be
given to the same group at two points in time.
A. Feedback
Content of Feedback
1. Relevant Organisation members are likely to use feedback data for problem solving when they find
the information meaningful. Including managers and employees in initial data collection activities can
increase the relevance of the data.
2. Understandable. The data must be presented to organisation members in a form that is readily
interpreted. For example, statistical data can be made understandable through the use of graphs and
charts.
3. Descriptive. Feedback data need to be linked to real organisational behaviours if they are to arouse
and direct energy. The use of examples and detailed illustrations can help employees gain a better
sense of the data.
4. Verifiable. Feedback data should be valid and accurate if they are to guide action. Thus, this
information should allow organisation members to verify whether the findings truly describe the
organisation. For example, questionnaire data might include information about the sample of
respondents as well as frequency distributions for each item or measure. Such information can help
members verify whether the feedback data accurately represent organisational events or attitudes.
5.Timely. The data should be fed back to members as quickly as possible after being collected and
analysed. This approach helps ensure that the information is still valid and is linked to members’
motivations to examine it.
6.Limited. Because people can easily become overloaded with too much information, feedback data
should be limited to what employees can realistically process and understand.
7.Significant. Feedback should be limited to those problems that organisation members can do
because it will energise them and help direct their efforts toward realistic changes.
8.Comparative. Feedback data can be ambiguous without certain benchmarks as a reference.
Whenever possible, data from comparative groups should be provided to give organisation members
a better idea of how their group fits into a broader context.
9.Unfinalised. Feedback is primarily a stimulus for action and thus should spur further diagnosis and
problem solving. For example, members should be encouraged to use the data as a starting point for
more in-depth discussion of organisational issues.
Reading
Read Chapter 6 from Cummings, T. G. and Worley, C.G. (2009). Organization Development &
Change, Ninth Edition. Cengage Learning. Pp 122- 154
Videos
Take note
The following content is important to understand in detail, so that you are able to explain,
describe and apply the OD processes of Collecting, Analysing, and Feeding Back Diagnostic
Information.
Lesson activity
Reading
Read Chapter 7 from Cummings, T. G. and Worley, C.G. (2009). Organization Development &
Change, Ninth Edition. Cengage Learning. Pp 157- 175
Videos
Take note
The following content is important to understand in detail to identify, design and apply the
effective OD interventions:
• The four major types of planned change interventions such as human process
interventions, technostructural interventions, human resource management interventions,
and strategic change interventions.
• Three major criteria that define an effective OD intervention.
• Design effective interventions.
Types of OD Interventions
There are four major categories of OD interventions: (1) human process interventions, (2) techno-
structural interventions, (3) human resource management interventions, and (4) strategic change
interventions.
Figure 5.3: Four major categories of OD interventions retrieved from the AIHR Academy
https://www.aihr.com/blog/od-interventions/
Videos
Individual OD interventions
https://www.youtube.com/watch?v=NZ_SUZ_pgMU 15:18
Team OD interventions
https://www.youtube.com/watch?v=pnyOp8eTn2U 15:18
https://www.youtube.com/watch?v=QIo6KqqpOuE 15:18
The OD interventions are required to address the issues that an organisation might be facing, ranging
from process, performance, knowledge, skill, will, technology, appraisal, career development,
attrition, and top talent retention to the list that can actually be exhaustive.
The organisation needs to explore the possible interventions that could address the problem and
achieve the desired performance outcomes. Therefore, there is a need to research and compare
different types of interventions, such as training, coaching, team building, process improvement, or
organisational restructuring, and how they fit to address the diagnosed organisational situation.
The organisation needs to determine the feasibility, suitability, and acceptability of each intervention,
as well as the evidence of their effectiveness and impact. Tools such as an intervention matrix, cost‒
benefit analysis, or best practice review can be utilised to explore various options.
Reading
The above chapters will enable you to understand the various OD interventions and how they can
be best applied to address various organisational performance issues.
Lesson Activity
Step 2: Identify prevalent issues and challenges in your organisation based on the above
questions
Step 4: Explain the process you will be following to implement the intervention
Change management (CM) is a collective term for all approaches to prepare, support, and
help individuals, teams, and organisations in making organisational change. It includes methods that
redirect or redefine the use of resources, business process, budget allocations, or other modes of
operation that significantly change a company or organisation.
Videos
https://www.youtube.com/watch?v=e4jnFqlUMmM 02:36
Reflection
Think about the previous change interventions you have experienced or being through in your
organisations/companies.
Reading
• Cummings, T. G. and Worley, C.G. (2009). Organization Development & Change,
Ninth Edition. Cengage Learning
• Hayes, J. (2014). The theory and Practice of Change Management 4th edition. Palgrave
Macmillan.
The start of the process is the recognition that external events, such as financial market performance,
or internal circumstances, such as the turnover of key staff and the development of a new product,
require a change to take place. Recognition involves complex processes of perception, interpretation
and decision making that, if not managed carefully, can lead to inappropriate outcomes; for example,
an organisation might fail to change when needed or may change when change is not needed. Leaders
sometimes fail to recognise the need for change because they pay insufficient attention to what is
happening in the wider environment. Even when organisational members are aware of what is going
on outside, they may fail to recognise the implications that this could have for the organisation. One
way of challenging accepted ways of thinking is to involve new people in the formulation of the change
agenda. Often, this activity is restricted to senior managers at the top of a department or the
organisation, but people located at multiple levels in the hierarchy, for example, members of the sales
team, customer service staff or those who have close contact with suppliers, may be better informed
about emerging threats and opportunities.
Reading
• Chapter 4 in Hayes, J. (2014). The theory and Practice of Change Management 4th edition.
Palgrave Macmillan.
Reflection
Apply various analytical tools to assess the need for change both internal and externally in your
current organisation :
• Apply the PEST analytical tool , focusing your attention on political, economic, sociocultural
and technological trends which will help you to be aware of the external factors for
identifying opportunities and threads to your organisation.
• Greiner’s organisation life cycle (5 phases) for the management style
• Organisational path dependence and the trap of success
• Indicators of effectiveness – organisational, departmental and at unit level
• Indicators of effectiveness alignment between the internal units, customers, suppliers
Although reviewing the present and identifying the future state may, at first sight, seem to be separate
and distinct activities, they are often integrated in practice. These two steps frequently involve several
iterations, progressing from broad concepts towards a vision of a more desirable state that is
sufficiently concrete and detailed to be implemented. There is some debate about whether the
process should start with looking at the present or the future. The argument for starting with the
present is to ensure that the change is not conceived as a ‘utopian leap’ to an unrealistic future that
cannot be reached from the current situation. On the other hand, focusing too heavily on the present
may limit horizons and lead to the goals of change being too cautious and constrained by current
experience.
Reading
• Chapter 7 in Hayes, J. (2014). The theory and Practice of Change Management 4th edition.
Palgrave Macmillan.
Reflection
1. Assess the current state of your organisation utilising a guide provided by Hayes, J. (2014),
in chapter 7 ‘’ Examples of the kind of information that might be attended to’’
2. Developing categories for organising your diagnostic information
3. Apply the Weisbord’s six-box model, The McKinsey 7S model, to continue with the diagnosis
whilst looking at the element of Strategy, Structure, Systems, Staff, Style, Shared
Values, Skills, in terms of how they align and need to be aligned during the change process.
4. How does the Burke-Litwin causal model of organisational performance and change, draw
attention to the (i) causal weight of the various elements of the organisation and
(ii)indicates how the requirement for different types of change can affect which
elements of the organisation which might need to be a focus for attention
After diagnosing the causes of problems or identifying opportunities for development, organisation
members begin planning and subsequently implementing the changes necessary to improve
organisation effectiveness and performance. A large part of organisational development (OD)
concerns interventions for improving organisations. Change can vary in complexity from the
introduction of relatively simple processes into a small work group to the transformation of the
strategies and design features of the whole organisation. Although change management differs across
situations, in this section, we discuss activities that must be performed in managing any kind of
organisational change.
Successful managers in continuously changing organisations (1) provide employees with clear
responsibility and priorities, including extensive communication and freedom to improvise; (2) explore
the future by experimenting with a wide variety of low-cost probes; and (3) link current projects to
the future with predictable (time-paced rather than event-paced) intervals and choreographed
transition procedures.
Readings
• Chapter 8: Cummings, T. G. and Worley, C.G. (2009). Organization Development & Change,
Ninth Edition. Cengage Learning
Effective change management process
Lesson Activity
Explain in detail the activities involved in implementing effective change with regards to the
following :
o Motivating change
o Creating a vision
o Developing political support
o Managing the transition
o Sustaining momentum
Providing useful implementation and evaluation feedback involves two activities: (1) selecting the
appropriate variables and (2) designing good measures.
The use of multiple measures of the same variable, described in the section about reliability, to make
preliminary assessments of the measure’s criterion or convergent validity. That is, if several different
measures of the same variable correlate strongly with each other, especially if one or more of the
other measures have been validated in prior research, then there is increased confidence in the
measure’s validity. A special case of criterion validity, called discriminant validity, exists when the
proposed measure does not correlate with measures that it is not supposed to correlate with.
Predictive validity is demonstrated when the variable of interest accurately forecasts another variable
over time. For example, a measure of team cohesion can be said to be valid if it accurately predicts
improvements in team performance in the future.
The key issue is how to design the assessment to show whether the intervention did in fact produce
the observed results. This is called internal validity. The secondary question of whether the
intervention would work similarly in other situations is referred to as external validity. External validity
is irrelevant without first establishing an intervention’s primary effectiveness, so internal validity is the
essential minimum requirement for assessing OD interventions.
Readings
• Chapter 9: Cummings, T. G. and Worley, C.G. (2009). Organisation Development & Change,
Ninth Edition. Cengage Learning
• Church ,A.H. (2017). The Art and Science of Evaluating Organisation Development
Interventions. OD Practitioner , 49 (2)
Lesson Activity
Read about the various measures of OD evaluation discussed by Church (2017) and Cummings
and Worley (2014)
How would you evaluate interventions implemented in your organisations taking into account the
multilevel approach, multilevel impact, and behavioural outcomes.
5.6 CONCLUSION
Now that you have completed this learning unit, you should be able to:
Define the organisational development.
Explain how the organisational development process, in conjunction with the
diagnosis/analysis/measurement, can be used to improve organisational functioning,
specifically at the organisational behaviour level.
Coherently describe the process of identifying intervention methods related to specific
organisational challenges.
Develop the capacity to master the process of leading organisational change through the
identification, conceptualisation, design and implementation of interventions.
5.7 SELF-ASSESSMENT