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Chapter 3: Application of OD Interventions
Chapter 3: Application of OD Interventions
Chapter 3: Application of OD Interventions
1. Introduction
2. Process o f application o f OD interventions
3. A pplication o f OD interventions: Global scraari^T Indian scenario, and in
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3.1: Introduction :
focuses on w hole system , structure, team s and individual so it has gained im portance.
OD interventions can be applied appropriately as per the need o f an organization.
Every organization is unique and has its own reason for change. OD practitioner
need to understand client’s need for change and has to apply interventions best suited
for it. The global challenge o f sustainability is the m ain reason for im plem enting OD
interventions. The dem ands o f the ever changing environm ent has lead to keep
confidence on OD interventions as it is based on the value system and these values
help an organization to face the challenge.
1. Diagnosis: - The search for perform ance gaps is called as diagnosis. These gaps
help to know w here client’s perform ance is less than desired. For accurate diagnosis
o f the current scenario, there should be a trustw orthy relationship betw een the
consultant and client^^This relationship helps in collaboration to find out real need o f
the change. For su<5cessful diagnosis it is necessary to link perform ance im provem ent
strategies to achieve business goals. U nderlying causes for this perform ance gap are
analyzed. Causes can be categorized into internal or external. Internal causes m ay
lead to adoption o f new strategy or setting new goals. External causes m ay lead to
designing new actions in regards to actions o f com petitors or by regulatory or social
related changes.
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2. D esigning an OD intervention strategy: - D iagnosis leads to designing an OD
intervention strategy represents the best solution , outlines specific outcomes, and
role o f each com ponent in the entire process. D esigning also gives specific points to
is evaluated, organizational m em bers can be engaged at this stage. The deploym ent
needs high level o f energy and creativity o f participants. Participants need to have
clear picture o f change and their role at each step. Accountability with meaningful
feedback is reinforced for process to be effective. Evaluation can be conducted by
constructing pilot studies and data collection
D iagn osis
Evaluation of OD Designing OD
intervention strategy in terven tio n strategy
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3.3 G lobal application o f OD interventions:
T he m ajority o f the work related to OD interventions is done in USA, UK, Japan and
som e developing countries in Asia. The foundation o f OD was laid by K urt Lewin
and his colleagues w ith various experim ents and labs. The National Training
Laboratory was also found for m ore research and training through labs and various
sessions. The N TL still plays an im portant role in the field o f OD. The US com panies
have successfully used the expertise o f various change agents and has developed the
organization through thick and thin. The Tavistock institute also plays an im portant
role in evolution o f OD. M any countries in UK also practice various OD
interventions in corporate as well as non-corporate world. Japanese m anagem ent is
one o f the m ost effective techniques used for enhancing quality and productivity.
V arious initiatives from Japanese m anagem ent are also considered as OD
interventions as they are based on sim ilar foundation and aim for organizational
change with enhanced effectiveness. The OD netw ork is form ed in various countries
internationally and regionally. These netw orks provide training and update the OD
com m unity w ith recent trends. The resources are also developed in above m entioned
countries w ith the help o f w hich an organization m anages the organizational change
effectively.
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focus on global social change and on creating conditions for sustainable social and
econom ic progress (Cum m ings & W orley, 2001). Industrializing econom ies favor
OD interventions that em phasize strategic, structural and w ork design aspects. These
interventions focus on assisting organizations to identify national and global m arkets,
to engage in clear and suitable goal setting, to structure them selves to becom e
efficient and effective and to increase their m arket share. Indian econom y is m oving
in the sam e direction. Lau et al. (2005) found that H ong K ong firm s spend m ore tim e
on hum an process interventions and strategic planning activities but less tim e on
techno structural and system -w ide interventions. On the other hand, firms in the USA
spend m ore tim e on hum an process and systen>)jfide interventions. Furtherm ore,
organizations m ay have to adapt som e OD interventions to fit the cultural values o f
particular countries. OD practitioners tilm k that they w ork in accordance with their
values instead o f prescribing their interventions (G olem biew ski, 1993).
The current trends o f OD interventions in global scenario are used for following
reasons:
1) Yahoo! A US based IT com pany saw a m ajor change when Carol Bartz took over
as a CEO in February 2009 carried out m ajor restructuring as an OD intervention.
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3) Cisco initiated change through substantial structural interventions, statistical
evaluation interventions and process interventions. It also focuses on C SR initiatives.
5) N issan M otors, A Japanese com pany under the leadership o f CEO Carlos Ghosn
introduced perform ance and productivity enhancem ent initiatives. A lso m assive
restructuring and talent m anagem ent OD interventions helped the com pany to
turnaround.
6) Canon introduced perform ance based com pensation, skill inventories and career
planning as interventions.
interventions.
10) Dell im plem ented force field analysis and various innovative training practices as
learning OD interventions. It also focused the em ployee em pow erm ent and
participative m anagem ent.
12) The com panies like Samsung, LG electronics focused on w orkforce diversity and
13) The com panies like Hyundai and Toyota f o c u s j^ f cultural interventions and
also gives the scope to other organizational m em bers to be a part o f the process. The
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credit for dev elo p in g O D in India goes to the experts in the field, Dr. T V R ao and
Uday Pareekh. T hey have co n trib u ted th ro u g h various books, articles as well as
training program m es. The exam ples o f OD interventions in Indian organizations are
as follows:
needs.
4) TCS has extensive OD interventions in the form o f goal alignm ent, balanced
interventions.
degree feedback ,psychom etric testing (M BTI) for individual personality assessm ent.
9) Sail introduced new m odified perform ance m anagem ent system as a part o f
change initiative.
10) Bank O f Baroda im plem ented reorganization at all regional and zonal levels.
organizational effectiveness.
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3.6 A pplication o f OD interventions in selected com pressor m anufacturing
com panies : ( Based on inform ation by H R ,secondary data and prim ary data)
Follow ing param eters guide for the selection o f appropriate OD intervention :
A )Individual Interventions :
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C )O rganization wide Interventions :
Sr N am e o f the organisational
.N intervention
0. /
1 Reform ation o f strategy ^ In the form o f w orking culture, M BO
2 Enhanced perform ance In the form o f K R A ’s and leading to
m anagem ent system career planning o f em ployees
3 New recruitm ent and selection In the form o f online portals
system
4 Job Design and redesign In the form o f m odification in job
description
5 Q uality im provem ent system s In the form o f TQ M and quality circles
6 Training m ethodology Based on individual needs and team
needs
7 Process consultation By appointing an consultant for
expertise
8 Productivity enhancem ent By im proving productivity processes
and sub processes
9 Technological Upgradation By installing new technology and
training associated w ith it.
10 Continuous im provem ent In the form o f suggestion schemes ,
initiatives interaction and quality circles.
The im plem entation o f these initiatives has been very effective in term s of:
1.Enhanced quality.
Follow ing param eters guide for the selection o f appropriate OD intervention :
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3.O bjectives o f the com pany based on past results.
4 .Identified area o f change.
OD interventions :
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T he im plem entation o f these initiatives has been very effective in term s of:
1.Enhanced quality.
Follow ing param eters guide for the selection o f appropriate OD intervention:
OD interventions:
A )Individual Interventions :
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C) O rganization w ide Interventions :
The im plem entation o f these initiatives has been very effective in term s of:
Ltd.
Follow ing param eters guide for the selection o f appropriate OD intervention :
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OD interventions :
A) Individual Interventions :
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D) O rganization wide Interventions :
The im plem entation o f these initiativ)re has been very effective in term s of:
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4. H elps in em ployee career planning through perform ance m anagem ent system.
5. M idterm feedback helps in m odification o f the systems.
1.O bjectives o f parent com pany guides the objectives o f change process.
2.The process and intervention is also decided by parent company.
3.The benefits and effectiveness achieved through-the intervention.
OD interventions :
A) Individual Interventions :
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B)Team building Interventions:
The im plem entation o f these initiatives has been very effective in term s of:
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3.7.6 N am e o f the C om pany: Transw orld com presso technologies Pvt. Ltd.
’v" -
Salient features o f OD Interventions and C hange m anagem ent process applied
Follow ing param eters guide for the selection o f appropriate OD intervention :
OD interventions :
A) Individual Interventions:
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C) O rganization w ide Interventions :
T he im plem entation o f these initiatives has been very effective in term s of:
scheme.
2. Open communication through open house forum.
3. Helps in employee career planning through performance index scheme.
4. Enhanced performance through competitive compensation structure.
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4.The time and implementation process.
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Business process reengineering In the process
Six sigma In process
Talent management Talent management
programme
Knowledge management In form o f training
10 Training methodology In the form o f prescribed
training process____________
11 Process consultation In the form o f hiring o f the
consultants for expertise.
12 Productivity enhancement Through technological
support and TQM__________
13 Continuous improvement initiatives In the form o f suggestion
schemes , assessments and
surveys.___________________
The im plem entation o f these initiatives has been very effective in term s of:
Follow ing param eters guide for the selection o f appropriate OD intervention :
OD interventions :
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A )Individual Interventions :
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3 Restructuring ^ In the form o f hierrachial
and processual changes
T he im plem entation o f these in itia tiv ^ h a s been very effective in term s of:
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3.8M odels o f OD interventions : Based on the secondary research researcher has
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The link between the first stage and the second is the role o f action research fo r
effective diagnosis and role o f involvement and participation o f employees fo r better
clarity and less resistance to change.
2) Pre-requisites for individual change : The organizational change involving
1.Personal grow th factors; are related to individual growth in personal life or can
The link between the second and third stage is the role o f survey feedback
about organizational change and to cope up with resistance to change with effective
organizational strategies.
The link between the third and fourth stage is role evaluation o f OD interventions.
The evaluation o f individual can be assessed through the enhanced performance ,
learning and application.
successful.
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3.8.2 Team intervention model
Team building
Role Clarity
Initiating
Organisation Responsibility alignm ent
al Change: conflict resolution
team related ' High Performance
chanee
Action research, involvement and
• Individual performance
• Team performance
resistance to change
• Designing team building OD
intervention
• Im plem entation o f OD
intRrventinn_____________
k J Performance
▼ -------------------------------------------- ^
{fig.3.3 : Team intervention model based on secondary research)
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M odel for team interventions
1)Initiating organizational chang^: The teams play very important role in today’s
corporate world. The organizational change demands alteration in team functioning.
The areas o f change in teams may include : team building, role clarity, responsibility
assignment, conflict resolution and high performance. This could be the result o f
organizational change in processual or technological up dation.
The link between the first stage and the second is the role o f action research for
effective diagnosis and role o f involvement and participation o f employees fo r better
clarity and less resistance to change.
2)Pre-reqiiisites : The organizational charjg€ involving teams requires consideration
in two areas ;
The link between the second and third stage is the role o f survey feedback about
organizational change and to cope up with resistance to change with effective
organizational strategies.
interventions can be applied as per the need. There are range o f OD interventions and
The link between the third and fourth stage is evaluation o f OD interventions. The
evaluation o f individual can be assessed through the enhanced performance ,
learning and application.
4.T he achievem ents o f o b j^ tiv es : The main objective o f team in the process o f
organizational change/fnake an effective and high performance team . The
performance o f the team can be evaluated and the objectives can be achieved.
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3.8.3 Inter group intervention model
OD process : 1. Diagnosis
Implementation o f OD intervention
Evaluation of OD
Achievement of objectives
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relations. Interventions aim at confrontation, negotiation for enhanced inter group
relations
1r
Team Intergroup Stru(:ture ,
_V_
OD process and
implementation of appropriate
Enhanced
organizational
effectiveness
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The system wide interventions focus on the large scale organizational change. The
external factors like competition, globalization or high rate o f technological
6. Continuous learning
7. Improved inter personal relations
8. Effective communication
9. Responsive organizational structure and more role clarity
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3.8.5 The appropriate model:
: Learning
,open system
• Focus on
individual
developm en
t,w ell being,
perform ance
, career
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o f change enables an organization to decide on appropriate interventions focusing on
an individual , team , inter group and system together. N o intervention can work in
1 ) A c c u r a te d ia g n o s is o f a n o r g a n iz a tio n a n d th e c h a n g e e v e n t, -
Diagnosis can help to analyze the current situation o f an organization and its
effectiveness. Diagnosis also helps enhance organization’s existing functioning.
Diagnosis in OD is development oriented. It is a collaborative process between
are designed. OD interventions are thus customized or tailor made based on specific
problem. OD interventions are deliberate actior^ which attempt to change an
organization in a more effective way. E|¥^ctive interventions fulfill following
criteria: -
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information o f outcome is prerequisite because interventions are based on specific
problem which is diagnosed eadier.
made more correct, then evaluation should be carried out at every step so that
evaluation choices can help to take more accurate intervention decisions. The
evaluation o f OD intervention can be done in two key areas: -
intervention.
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