Prof. R. Rijamampianina
ODD & People Management: Session 4
Organisational Development:
a Strategic Necessity
By Rija
Learning Outcomes
• Explain why OD is a strategic necessity to their organisations;
• Advise on the OD process and the necessary steps to be taken;
• Choose the appropriate models of diagnosis and analysis and develop customised models for their organisations;
• Lead an OD intervention.
Speed
Time0
Pace of change
Obeng, 2009; 2012; 2014
t
Rate of learning
Berinato, 2014; Casey, 2014; Kinsinger & Walch, 2015
"...when the rate of change outside an organization is greater than the change inside, the end is near..."
– Jack Welch –
Prof. R. Rijamampianina
ODD & People Management: Session 4
Change is a Strategic Necessity!
Change
• Intentional � Planned
• Accidental � Unplanned
OD
OD?
OrganisationalDevelopment
Planned-change
What does this imply?
Lussier, 2009; Neil, 2011; McGunagle, 2012; Turner, 2013; Patel, 2014
CHANGE
This Implies…
OD CHANGE
What if…
OD
Prof. R. Rijamampianina
ODD & People Management: Session 4
MATTERS
OD brings
LEADERS, MANAGERS
and
EMPLOYEES together
holding them all responsible
for the EFFECTIVENESS of the organisation
and the INNOVATION in the organisation.
OD is a team-based activity
Palmer, Dunford & Akin, 2009
OD?
Fact
Active Learning= Active Discovery
Readiness + Ability + Willingness to:• Create/find new possibilities• Break new grounds• Disrupt the status quo
Fact
Active Learning= Active Discovery
Networksof Exchanges
& EngagementReadiness + Ability + Willingness to:• Create/build collective intelligence
Fact
Active Learning= Active Discovery
Networksof Exchanges
& EngagementReadiness + Ability + Willingness to:• Disrupt past thinking patterns• Disrupt past practices
Prof. R. Rijamampianina
ODD & People Management: Session 4
Fact
Active Learning= Active Discovery
Networksof Exchanges
& EngagementReadiness + Ability + Willingness to:• Lead self + organisation to the future• Engage with the future
Fact
Active Learning= Active Discovery
Networksof Exchanges
& EngagementReadiness + Ability + Willingness to:• Create a desired future
“Smart leaders & managers are rewritingthe OD concepts & practices.”
Hill et al., 2014
OD Revisited
PAST
• A set of planned change interventions, activities or tools…
• To improve effectiveness � staying grounded� limited solution space
• Initiated, imposed and managed by an OD practitioner � rolled out
CURRENT & FUTURE
� A mind-set, a value-set, a talent-set and a role set…
� To innovate and invent � breaking new ground � limitless possibilities
� Socially constructed and responsibility of everyone � rolled up
Hamel & Zanini, 2014
OD Revisited
PAST
• Role of an OD practitioner = to design a change programme
• Conversation to solve problems and address issues
• An episodic interruption of the status quo: unfreeze � move � re-freeze
CURRENT & FUTURE
� Role of an OD practitioner = to build a change platform
� Conversation to create new knowledge, collective intelligence and new possibilities
� Constant discovery and experimentation:“permanent slush”
Hamel & Zanini, 2014
OD Revisited
PAST
• Role of an OD practitioner = to design a change programme
• Conversation to solve problems and address issues
• An episodic interruption of the status quo: unfreeze � move � re-freeze
CURRENT & FUTURE
� Role of an OD practitioner = to build a change platform
� Conversation to create new knowledge, collective intelligence and new possibilities
� Constant discovery and experimentation:“permanent slush”
Hamel & Zanini, 2014
Creating Possibilities
Prof. R. Rijamampianina
ODD & People Management: Session 4
Why OD?
We need/want to improve our effectiveness& innovate
• Individual• Team/Group• Organisational
Why OD?
ENVIRONMENTS(dynamic)
INTERNAL EXTERNAL
• External adaptation• External differentiation
� Internal operation� Internal coordination� Internal integration
Effective OD Process
EnvironmentalScanning
Identification/Recognitionof probl/needs/opport.
Diagnosis& Analysis
ActionPlanning
InterventionAudit
Lingham, 2009; Jones & Brazzel, 2012
• Observation
• Interactions
EnvironmentalScanning
Identification/recognitionprobl/needs/opport.
Diagnosis& Analysis
ActionPlanning
InterventionAudit
Open door policyvs.
Leading and managing by walkingHerb Kelleher
EMPLOYEE ENGAGEMENT
• Observation
• Interactions
EnvironmentalScanning
Identification/recognitionprobl/needs/opport.
Diagnosis& Analysis
ActionPlanning
InterventionAudit
Open door policyvs.
Leading and managing by walkingHerb Kelleher
EMPLOYEE ENGAGEMENT• At what level(s)?
– Individual
– Team/group
– Organisational
• Where?
– The ‘soft’ side: people (their values, skills, behaviour…)
– The ‘hard’ edge: strategies, structures, systems, processes/procedures/policies
EnvironmentalScanning
Identification/recognitionprobl/needs/opport.
Diagnosis& Analysis
ActionPlanning
InterventionAudit
Prof. R. Rijamampianina
ODD & People Management: Session 4
• Diagnosis and analysis are the process of understanding how the organization is currently functioning, and it provides information necessary to design OD interventions.
• It is also a collaborative process between organization members and the OD consultant/manager to collect pertinent information, diagnose and analyze them, and draw conclusions for action planning and intervention.
Org Diagnosis & Analysis
Weisbor, 2009; Janićijević, 2010; Hamid, 2011; Zarei, 2014
• Data/info collection
– Observation
– Interviews
– Questionnaire
– Archival records
• Select and use a diagnosis and analysis model
EnvironmentalScanning
Identification/recognitionprobl/needs/opport.
Diagnosis& Analysis
ActionPlanning
InterventionAudit
Probl/needs/opport:• Chronic or acute?• Pattern or event?• Tangible or intangible?• Etc…
Why Models?
• To guide how we think about situations that we face in our organisation: – How things work?
– What causes what?
– What can we do?
• Our experience is limited � cannot be generalised;
• Others need to be aware of the framework within which decisions are/will be made � putting everybody on the same page.
Palmer, Dunford & Akin, 2009; Hamid, 2011; Nickols, 2012
Prof. R. Rijamampianina
ODD & People Management: Session 4
The Burke-Litwin Model
Internal Operations
Transformational variables
Transactional variables
External Environment
Variables that interact with environmental forces Variables affected by
short-term, day-to-day, reciprocity among people and groups
Warner Burke George Litwin
Sources of MAJOR/RADICAL
changes
Sources of INCREMENTAL
changes
The Burke-Litwin Model
External Environment
LeadershipMission & Strategy Culture
Management Practices
Work Unit Climate
Motivation
Performance
Structure Systems
• Task Requirements• Individual skills Individual Needs & Values
Warner Burke George Litwin
Prof. R. Rijamampianina
ODD & People Management: Session 4
Congruence Model
David Nadler Michael Tushman
The Star Model
Jay Galbraith
Prof. R. Rijamampianina
ODD & People Management: Session 4
The Six-Box Model
Marvin Weisbord
McKinsey & CompanyHBSStanford Business School
The 7-SModel
Prof. R. Rijamampianina
ODD & People Management: Session 4
A. ORGANIZATIONAL LEVEL
B. GROUP LEVEL
C. INDIVIDUAL LEVEL
- General
Environment
- Industry
Structure
Inputs Design Components
Organization
Effectiveness
Outputs
Strategy
Structures Culture
HRSystems
Technologies
- Organization
Design
Inputs Design Components
Team
Effectiveness
e.g., quality of
teamwork,
performance
Outputs
Goal Clarity
Task Structures Group
Functioning
Group
Composition
Group
Norms
- Organization
Design
- Group Design
- Personal
Characteristics
Inputs Design Components
Individual
Effectiveness
e.g., job
satisfaction,
personal
development
Outputs
Skill Variety
Task Identity Autonomy
Task Significance Feedback about
Performance
Model for Diagnosing & Analysing Org
Weisbor, 2009
Prof. R. Rijamampianina
ODD & People Management: Session 4
• Analysis: use a combination of quantitative and qualitative methods– Employee opinion analysis
– SWOT analysis
– Capabilities/capacity assessment
– P²E²STLE analysis
– Cause-effect analysis
– Comparative analysis
– Etc…
• Interpretation and findings
Environmental
Scanning
Identification/recognition
probl/needs/opport.
Diagnosis
& Analysis
Action
PlanningInterventionAudit
• Identification and selection of possible actions (incl. communication)
• Action planning (incl. communication planning)
Environmental
Scanning
Identification/recognition
probl/needs/opport.
Diagnosis
& Analysis
Action
PlanningInterventionAudit
Time
Status quo
Desiredstate
Driving
forces
Restraining
forces
Communication
• Credibility of the OD/change agent � credibility of the message.
• Clarity
• Conviction
• Content:
– message of discrepancy
– message of efficacy
Communication Plan
� Who?� What?� Why?� How?� When?
� Remember to communicate even to those who are not impacted
Around 20% of your project activity!
Do for each group of
stakeholders
Communication Plan
WHAT I WANT TO SAY…
• As you would blurt it out.
WHAT I WILL ACTUALLY SAY…
• ISSUE:
Description of the probl./needs/opport.
• DATA:
Example to make it clear and unambiguous.
• QUESTION(S):
To trigger dialogue/engagement.
• BUILD SOLUTION TOGETHER
Obeng, 2009; 2012; 2014
TIMING:
• All at once
• As far as you can go in one conversation
• One step at a time
Prof. R. Rijamampianina
ODD & People Management: Session 4
Structured Action Planning
• Prioritizing issues/needs/opportunities identified by the diagnosis and analysis (at what level?)
• Identifying possible solutions/interventions (at what level?)
• Selecting and committing to specific interventions atthe appropriate level (organizational, team/group, individual)
• Planning the implementation of each intervention
• Following-up with a new data-gathering cycle for further improvements
When You Plan…
OD/change processes are not always sequential � we may loose out on timing.
�
�
�
• Identification and selection of possible actions (incl. communication)
• Action planning (incl. communication planning)
• Objectives and metrics setting
Environmental
Scanning
Identification/recognition
probl/needs/opport.
Diagnosis
& Analysis
Action
PlanningInterventionAudit
• Long-term• Medium-term• Short-term
� Sequence of decisions/actions
� Feasibility
� Risks
� Cost/benefit
� Impact� Timing� Important/urgent � priorities
� Probability of success
� Contingencies
� Etc…
Prof. R. Rijamampianina
ODD & People Management: Session 4
Measurement Plan
Measure no.
Measure Description How directly impacted by
change/OD project
Baseline measure
Measuring frequency
1.
2.
3.
Risk
Low High
Low
High
Probability of occurring
Impacton change
MonitorWork onreducing
Minimaleffort Manage
Prof. R. Rijamampianina
ODD & People Management: Session 4
Risk Analysis
Risk
No.
Description Proba-bility
Project impact
Priority Potential consequences
Proposed/ implemented actions
Status Respon-sible
1
2
3
4
Prof. R. Rijamampianina
ODD & People Management: Session 4
OD Intervention
• A set of sequenced planned actions or events intended to help an organization increase its effectiveness and/orinnovate (i.e., disrupt).
• OD interventions purposely disrupt status quo; they are deliberate attempts to change an organization or subunit toward a different and more effective state.
Cummings & Worler, 2009; Romme, 2011; Kongalla, 2013
Types of OD Intervention
• Human process intervention– Process consultation: This intervention focuses on
interpersonal relations and social dynamics occurring in work
groups.
– Team building: This intervention helps work groups become
more effective in accomplishing task.
• Structural intervention
• HRM intervention
• Strategic intervention
Cummings & Worler, 2009; Romme, 2011; Kongalla, 2013
Types of OD Intervention
• Human process intervention
• Structural intervention– Structural design: This change process concerns the
organization’s division of labor – how to specialize task performances.
– Downsizing: This intervention reduces costs and bureaucracy by
decreasing size of the organization.
– Reengineering: This intervention radically redesign the
organization’s core work process to create more responsive
performance.
• HRM intervention
• Strategic intervention
Cummings & Worler, 2009; Romme, 2011; Kongalla, 2013
Types of OD Intervention
• Human process intervention
• Structural intervention
• HRM intervention– Performance mgmt: This intervention is a systematic process to
align employees’ actions + behaviors + outputs to the org strategy.
– Career planning & dvpt: This intervention helps people choose
career paths and attain career objectives.
– Reward system: This intervention involves the design of
organizational rewards to improve employee well-being
� effectiveness.
• Strategic intervention
Cummings & Worler, 2009; Romme, 2011; Kongalla, 2013
Types of OD Intervention
• Human process intervention
• Structural intervention
• HRM intervention
• Strategic intervention– M&A: This intervention is a systematic process to integrate two or
more organizations.
– Culture change: This intervention helps organizations develop
cultures appropriate to their strategies and environments.
– Organisational learning: This intervention seeks to enhance an
organization’s capability to acquire, apply, share, exchange, develop
and create new knowledge.
Cummings & Worler, 2009; Romme, 2011; Kongalla, 2013
OD Intervention Success Factors
READINESS
for Change
CAPABILITY
to Change
CAPABILITY +
CREDIBILITY of the
Leader(s)
• Culture
• Context
• Environments
Cummings & Worler, 2009; 2014; Dike, 2012; Parumasur, 2012
Prof. R. Rijamampianina
ODD & People Management: Session 4
Institutionalisation
John P. Kotter
• Articulating the connections between the new actions + behaviours and the organisational performance;
• Incorporating the new approaches into the organisational culture(s);
• Developing the means to ensure continuous learning � improve effectiveness + innovation + invention.
• When?
• Celebrate quick-wins!
• Don’t declare victory too soon!
Environmental
Scanning
Identification/recognition
probl/needs/opport.
Diagnosis
& Analysis
Action
PlanningInterventionAudit
WHY ?
LEGAL AID BOARD
Balancing the Scales of Justice
By Tessa Murray
What Have We Learned?