1.Thomas G. Cummings Organization Development and Change

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  In keeping with the increasingly strategic focus of OD, we have expanded the strategic interventions part of the book from two chapters to three chapters. Chapter 20 nowdescribes transformational change and focuses on the interventions and processes associated with episodic forms of large-scale change.


  Organization development differs from in terms of people’s need to work with and other planned change efforts, such as project through others in organizations and in termsmanagement or innovation, because the focus of organizations’ need to adapt in a complex is on building the organization’s ability to assess and changing world. Worley and Feyerherm suggested that for a process to be calledorganization development, (1) it must focus on or result in the change of some aspect of the organizational system; (2) there must be learning or the transfer of knowledgeor skill to the client system; and (3) there must be evidence of improvement in or an 1 intention to improve the effectiveness of the client system.

2 Organization development refers to a long-range effort to improve an organization’s

  3 Organization development is an effort (1) planned, (2) organization-wide, and 6 sciences; and (3) open systems theory, organization development is a system- wide process of planned change aimed toward improving overall organizationeffectiveness by way of enhanced congruence of such key organization dimensions as external environment, mission, strategy, leadership, culture, structure, informationand reward systems, and work policies and procedures. (Warner Burke and DavidBradford) action planning, intervention, and evaluation aimed at (1) enhancing congruence among organizational structure, process, strategy, people, and culture; (2) developingnew and creative organizational solutions; and (3) developing the organization’s self- renewing capacity.

5 Based on (1) a set of values, largely humanistic; (2) application of the behavioral

  Second, OD is based on the application and transfer of behavioral science knowledge and practice, including microconcepts, such as leadership, group dynamics, and workdesign, and macroapproaches, such as strategy, organization design, and international First, OD applies to changes in the strategy, structure, and/or processes of an entire system, such as an organization, a single plant of a multiplant firm, a departmentor work group, or individual role or job. The toppling of the Berlin Wall symbolized and energized the reunification of Germany; the European Union created a cohesive economic blockthat alters the face of global markets; entrepreneurs appeared in Russia, the Balkans, and Siberia to transform the former Soviet Union; terrorism has reached into everycorner of economic and social life; and China is emerging as an open market and global economic influence.


  In the 1950s, three trends emerged: (1) the emergence of regional laboratories,(2) the expansion of summer program sessions to year-round sessions, and (3) the expansion of the T-group into business and industry, with NTL members becom-ing increasingly involved with industry programs. NTL, as well asUCLA and Stanford, continues to offer T-groups to the public, a number of proprietary programs continue to thrive, and Pepperdine University and American University con-tinue to utilize T-groups as part of master’s level OD practitioner education.

25 The survey asked members for their opinions about both

  All of the backgrounds support the transfer of knowledge and skill to the client system and the building ofcapacity to better manage change in the future. In addition to the growth of professional societies and educational programs in OD, the field continues to develop new theorists, researchers, and practitioners who are buildingon the work of the early pioneers and extending it to contemporary issues and conditions.

D. Whitney, B. Mohr, and T. Griffin, The Apprecia tive

  Shmuck and M. Schmuck and P.

64. R. Marshak, Covert Processes at Work: Managing the

  It is generally initiated and imple- Next, we present a general model of planned mented by managers, often with the help of an change that integrates the earlier models andOD practitioner from either inside or outside of incorporates recent conceptual advances in the organization. Similarly, Kotter’s eightwstage process can be mapped onto Lewin’sphases: establishing a sense of urgency, creating the guiding coalition, developing a vision and strategy, and communicating the change vision (unfreezing); empoweringbroad-based action, generating short-term wins (moving); and consolidating gains and5 producing more change, and anchoring new approaches in the culture (refreezing).

2. Comparison of Planned Change Models

  At this stage, the specific action to be taken depends on the culture, technology, and environment of theorganization; the diagnosis of the problem; and the time and expense of the intervention. Lewin’s model and the action research model differ from the positive approach in terms of the level of involvement of the participants and the focus of change.

2. Interventions that modify an organization’s structure and technology

  Evaluating and Institutionalizing Change The final stage in planned change involves evaluating the effects of the intervention and managing the institutionalization of successful change programs so they persist.(Those two activities are described in Chapter 11.) Feedback to organization mem- bers about the intervention’s results provides information about whether the changesshould be continued, modified, or suspended. Steps in planned change may be implemented in a variety of ways,depending on the client’s needs and goals, the change agent’s skills and values, and the organization’s context.


  The selection criteria included the ability to work within a process yet think out-side of the box, to communicate well with others in a team, and to influence directors and man-agers without having formal authority. As one member put it, “How many times in your life canyou say that you helped put together a brand-new organization?”The Metamorphs decided that to meet their char- ter, any transition plan had to be designed spe-cifically to minimize disruption to customers and service, minimize airport and nonairport financialimpacts, and properly address and resolve all legal and regulatory matters.


  Despite all the work of the Metamorphs and the functional teams, and sometimes because of it,Bowens also had to interface with the California legislature. They also help them develop structures for managing the transition from the present to the future organization and may include, for example, a program management officeand a variety of overlapping steering committees and redesign teams.

4. The evaluation might signal the need for adjustments in the organizing process or for further identification, convention, and organization activities

  He and several other industry associ- ates pinpointed the predominant reasons forflagging competitiveness: needless duplication of effort among manufacturing innovators; difficul-ties in transferring technological breakthroughs from university to industry; frequent irrelevanceof university research to the needs of industry; and the inability of individual industry membersto commit the time and funds to research projects needed for continued technological advances. To be successful, they must develop a keen awareness of their own cultural biases, be open to seeing a variety of issues from another perspective, be fluent in the values andassumptions of the host country, and understand the economic and political context of business in the host country.

B. Mohr, Appreciative Inquiry (San Francisco: Jossey- Bass, 2001)

  Patchett, “Myth and Hope Meet Reality: The Fallacy of and Opportunities forReducing Cycle Time in Strategic Change,” in FastCycle Organization Development, ed. The following documents were used in devel-oping the case: Air Transportation and the Future of theSan Diego Region: The Impact of Constrained Air Transportation Capacity on the San Diego RegionalEconomy.

V. Burr, An Introduction to Social Constructionism (London: Routledge, 1995)

  The statementsrange from “staying centered in the present, focusing on the ongoing process” and“understanding and explaining how diversity will affect the diagnosis of the culture” to“basing change on business strategy and business needs” and “being comfortable with quantum leaps, radical shifts, and paradigm changes.” Recent items added to the listrelate to international OD, large-group interventions, and transorganization skills. Theyinclude knowledge of organization design, organization research, system dynamics,OD history, and theories and models for change; they also involve the skills needed to manage the consulting process, to analyze and diagnose systems, to design and chooseinterventions, to facilitate processes, to develop clients’ capability to manage their own change, and to evaluate organization change.

1. Organization behavior

2. Individual psychology

3. Group dynamics

  Organization design: the decision process associated withformulating and aligning the elements of an organizationalsystem, including but not limited to structural systems, humanresource systems, information systems, reward systems, workdesign, political systems, and organization culture G. System dynamics: the description and understandingof how systems evolve and develop over time, how systemsrespond to exogenous and endogenous disruption aswell as planned interventions(e.g., evolution and revolution, punctuated equilibrium theory,chaos theory, catastrophe theory, incremental vs. quantum change,transformation theory, and so on) continued[Table 3.1] [Table 3.1] F.

5. Research methods/statistics

PART 1Overview of Organization Development [Table 3.1] [Table 3.1]Knowledge and Skill Requirements of OD Practitioners, (continued) FOUNDATION COMPETENCIES CORE COMPETENCIES

6. Comparative cultural

  Evaluating organization change: the ability to design andimplement a process to evaluate the impact and effects of changeintervention, including control of alternative explanations andinterpretation of performance outcomescompetence in those areas may take considerable time and effort, and it is questionable whether the other two types of OD practitioners—managers and specialists in relatedfields—also need that full range of skills and knowledge. A study of 416 OD practitioners found that 47% agreed with the statement, “Many of the new entrants into the field have little understanding of or12 appreciation for the history or values underlying the field.” Because OD is a highlyuncertain process requiring constant adjustment and innovation, practitioners must have active learning skills and a reasonable balance between their rational and emo-tional sides.


  Rather than con- tracting to solve specific problems, the consultant has tended to work with organizationmembers to identify problems and potential solutions, to help them study what they are doing now and consider alternative behaviors and solutions, and to help them discoverwhether, in fact, the consultant and they can learn to do things better. This expertise, however, is [Figure 3.1] [Figure 3.1]Use of Consultant’s Versus Client’s Knowledge and Experience Plans implementation Use of Consultant’sKnowledge and Recommends and/or prescribesExperience Proposes criteria Identifies available options Feeds back dataProbes and gathers data Clarifies and interpretsListens and reflects Use of Client’sRefuses to become involved Knowledge and ExperienceSOURCE: Adapted by permission of the authors from W.


  As Todd reflected on her options, she pondered the following questions: After thinking about those issues, Todd summarized Eventually, she contracted with one of them to be her position in terms of three dilemmas: a dilemma her “shadow” consultant—to work with her behindof self (who is Kindred Todd?), a dilemma of compe- the scenes on formulating and implementing an intervention for the client.tence (what can I do?), and a dilemma of confidence (do I like who I work for?). Whereas in the past the OD practitioner’s role has been described as standing at the client end of the continuumfrom client-centered to consultant-centered functioning, the development of new and varied interventions has shifted the role of the OD professional to cover the entirerange of that continuum.

C. Woods, “Practicing Internal OD,” in Practicing

  This application was developed by Kimberly McKenna based on her experiences as both an exter-nal and internal OD practitioner and on Kirkhart and Isgar, “Quality of Work Life for Consultants.” 28. A series of drafts basedon extensive contributions, comments, and discussions involving many professionals and organizations has led to the following version of this statement.

I. Responsibility for Professional Development and Competence

  Recognize the limits of my competence, culture, and experience in providing services and using techniques; neither seek nor accept assignments outside those limits withoutclear understanding by the client when exploration at the edge of my competence is reasonable; refer client to other professionals when appropriate. Strive continually for self-knowledge and personal growth; be aware that “what is in me” (my perceptions of myself in my world) and “what is outside me” (the realitiesthat exist apart from me) are not the same; be aware that my values, beliefs, and aspirations can both limit and empower me and that they are primary determinantsof my perceptions, my behavior, and my personal and professional effectiveness.

II. Responsibility to Clients and Significant Others

  Serve the short- and long-term welfare, interests, and development of the cli- ent system and all its stakeholders; maintain balance in the timing, pace, andmagnitude of planned change so as to support a mutually beneficial relationship between the system and its environment. Be aware of my own personal values, my values as an OD/HSD professional, the values of my native culture, the values of the people with whom I am working, andthe values of their cultures; involve the client system in making relevant cultural differences explicit and exploring the possible implications of any OD/HSD interven-tion for all the stakeholders involved; be prepared to make explicit my assumptions, values, and standards as an OD/HSD professional.

I. Avoid conflicts of interest

  Fully inform the client of my opinion about serving similar or competing orga- nizations; be clear with myself, my clients, and other concerned stakeholdersabout my loyalties and responsibilities when conflicts of interest arise; keep parties informed of these conflicts; cease work with the client if the conflictscannot be adequately resolved. Identify and respond to any major differences in professionally relevant values or ethics between myself and my clients with the understanding that conditionsmay require ceasing work with the client.

4. Accept differences in the expectations and interests of different stakeholders and realize that those differences cannot be reconciled all the time

  Ensure a clear understanding of and mutual agreement on the services to be performed; do not shift from that agreement without both a clearly definedprofessional rationale for making the shift and the informed consent of the clients/participants; withdraw from the agreement if circumstances beyond mycontrol prevent proper fulfillment. Safeguard the best interests of the client, the profession, and the public by making sure that financial arrangements are fair and in keeping with appropri-ate statutes, regulations, and professional standards.

III. Responsibility to the Profession

  Act with due regard for the needs, special competencies and obligations of my col- leagues in OD/HSD and other professions; respect the prerogatives and obligations ofthe institutions or organizations with which these other colleagues are associated. Be aware of the possible impact of my public behavior upon the ability of col- leagues to perform their professional work; perform professional activity in a waythat will bring credit to the profession.

IV. Social Responsibility

  Respect the cultures of the organization, community, country, or other human system within which I work (including the cultures’ traditions, values, and moraland ethical expectations and their implications), yet recognize and constructively confront the counterproductive aspects of those cultures whenever feasible; besensitive to cross-cultural differences and their implications; be aware of the cul- tural filters which bias my view of the world. The CIO believed there was much to gain from the project,and asked the Director of the Right Track office (this was the internal name AH had given to the decisionaccelerator) to lead the contracting process and to help the researchers schedule meetings and interviews.application 4.1 Time and Resources To accomplish change, the organization and the OD practitioner must commit time and resources to the effort.


  We’ve taken a would work to frame project objectives, receive thestab at such a document and it is attached.feedback and assist in data interpretation, and help The document includes a one-page descrip-to transfer the learnings back to the organization.tion of proposed dates, activities, and infor- mation to be gathered. Please let me know In addition to the timeline, the research proposal if this meets your needs.outlined the purpose of the project; the likely ben- efits to Alegent; the estimated costs for interviews, The document also lists a set of potential data analysis, and direct expenses; the supportquestions for the initial round of interviews.resources expected from Alegent, including the There are two issues we could use your guidance on.


  The outputs of the transformation process are returned to the environment and can be used as PART 2 The Process of Organization Development[Figure 5.1] [Figure 5.1] The Organization as an Open SystemENVIRONMENT Inputs Transformations Outputs FEEDBACKThe open systems model also suggests that organizations and their subsystems— departments, groups, and individuals—share a number of common features that explainhow they are organized and function. The amount of integration required in a structure is a function of (1) the amount of uncertainty in the environment, (2) the level of differ-entiation in the structure, and (3) the amount of interdependence among departments.

1. D. Nadler, “Role of Models in Organizational Calif.: Sage Publications, 1994); R. Burton, B. Obel, Assessment,” in Organizational Assessment, eds

  Weisbord, “Organizational Diagnosis: Six Places to Look for Trouble with or without a Theory,”Group and Organizational Studies 1 (1976): 430–37. Romanelli, “Organization Evolution: A Metamorphosis Model of Convergenceand Reorientation,” in Research in OrganizationalBehavior, vol.

D. Hitchin, and W. Ross, Integrated Strategic Change:

  Group functioning, therefore, involves task-related activities, such as advocacy and inquiry; coordinating and evaluating activities; and the groupmaintenance function, which is directed toward holding the group together as a cohe- sive team and includes encouraging, harmonizing, compromising, setting standards, 8 and observing. Members rarely discussed the need to move on or vote; rather, these behav-iors emerged informally over time and became acceptable ways of dealing with difficult issues.application 6.1 In the case of decision-making groups such as this one, organization design also affects the nature of the issues that are worked on.

5. What is the nature of team functioning in the group? The case strongly suggests that interpersonal relations are not healthy on the management team

  Assuming a tra- ditional performance management process, the Program Administrator probablyreceives feedback from the director on his performance and on his strengths and weaknesses as a supervisor; from program evaluations, he receives feedback on howthe program office is perceived in terms of its service quality; and from the students, he receives feedback on his willingness and ability to provide support and guidance. First, the larger the population (for example, the number of organization mem- bers or total number of work outcomes) or the more complex the client system (forexample, the number of salary levels that must be sampled or the number of different functions), the more difficult it is to establish a “right” sample size.

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