Ok, so this blog is not a review of ‘The Rocky Horror Picture Show’, instead it is the next in our series of things that HR professionals are discussing and is focused on Organisational Development.
Organisational Development links with our previous blog on change management, as it sits alongside this and other disciplines you tend to find as part of HR.
In this blog we will explore:
- What is Organisational Development?
- Five phases of Organisational Development strategy
- What skills are needed to be an Organisational Development practitioner?
What is Organisational Development?
Organisational Development (or OD for short) focuses on improving an organisations capability. The Association for Talent Developmentin their article say that this is done through alignment of:
- Strategy
- Structure
- People
- Rewards
- Metrics
Management processes
OD is a multi-disciplined field which pulls together skills from across a number of areas which includes psychology, social sciences, HR management, change management, research analysis and design. It can be used to build the organisations culture and enable innovation.
OD takes a science-based approach; it is not a matter of trying something to see if it works. It is about research and action.
The Roffey Park Institute in their short guide to OD set out how it has evolved. Long before the term was used, back in the early 20thcentury during the industrial period when people were treated as cogs in the worker machine, certain people began to stand out, for example Mary Parker Follett – who coined the importance of leadership over management.
Some OD values can be said to have stemmed from her work i.e.
- Participation
- Democracy
- Empowerment & choice
- Fairness
- Lifelong learning
In individual development for example, Freud & Jung were shaping and being shaped by societies view of normal human conditions. The development of the wider field of psychology was another forerunner to the field of OD.
In the 1940’s and 1950’s OD as a term was formed through a group of American academics and later practice facing people:
- Richard Beckhard
- Doug MacGregor
- Herbert Sheppard
- Ron Lippitt
- Rensis Likert (developer of the Likert Scale)
- Edgar Shein
- Kurt Lewin (whose change management model we wrote about in the change management blog), is seen as the founder of social psychology and OD.
In 1947 the Tavistock Institute of HR relations was opened in the UK. Over the decades that followed, more theories and practices emerged – participation, surveying, motivation systems theory, group dynamics, adult learning theory, leadership theory and more.
In the 1980’s and 1990’s more tools were developed for working in larger organisations, such as world cafés and open space. In this period, we also saw the emergence of positive psychology such as the work of Martin Seligman’s PERMA model and appreciative inquiry. We also saw the arrival of evolved systems diagnostic models to include things like Goleman’s Emotional Intelligence, McKinsey’s 7s and Burke-Litwin model of organisational change.
Many of these are still used today but things continue to evolve in a more agile, living way with the use of social media and in the moment conversations with a diverse workforce.
Five phases of OD strategy
The association for talent development in the same article describe the five phases of OD strategy which goes from designing to implementation
- Entry
- Diagnosis
- Feedback
- Solution
- Evaluation
Entry
Exploring the problem you are looking to solve. This is the initial contact between an OD consultant and client in which the problem, opportunity or situation will be presented and explored. The output to this phase in the process is an engagement contract or project plan that sets out the expectations on both sides and an initial agreement about the scope of the project (i.e., resources, timeline, cost)
Diagnosis
The assessment phase is about fact finding. It is the stage where data is gathered, gaps identified, analysed, and reviewed. This is a scientific approach where no assumptions are made but research questions are developed.
Feedback
Phase three is where the information gathered and analysed in the preceding phase, are presented back to the client. This can include exploring the information for understanding, clarity, and accuracy and reviewing the initial agreements about scope to see if this needs to be amended, as necessary. The output from this phase is typically an action plan that outlines the change solutions to be developed, success criteria and measurement based on the information and data analysis that has been undertaken.
Solution
Phase four represents the design, development, and implementation of a solution (or series of solutions) to correct the problems identified in phase one. These solutions should close gaps, improve or enhance performance and effectiveness. Outputs from this penultimate phase may include a communication plan, a role/responsibility matrix, a training and development plan, an implementation plan, a risk management plan, an evaluation plan, or a change management plan.
Evaluation
The last phase represents the continuous process of collecting data (formative and evaluative) to assess whether the initiatives implemented are meeting the goals and success indicators. Outputs usually include an evaluation report with recommendations for continuous improvements.
Some OD initiatives and interventions
There are four typical categories for OD initiatives:
Human process
This includes things like team building, coaching, group processes
Techno-Structural
This includes restructuring (i.e., mergers and acquisitions), flexible workforce design, downsizing, agile working and six sigma lean processing.
HR Management
This includes employee engagement, employee experience, performance management, employee development, succession planning, coaching, and mentoring, career development and diversity awareness.
Strategic
This includes organisational transformation, culture change, leadership development, attraction and retention initiatives.
Most initiatives will have elements from each category i.e., if you are working on a change management initiative then it is likely you will need to look at team building, employee experience, employee engagement, workforce design and culture change amongst others.
OD interventions are the “planned activities that are designed to solve the problem that the client and consultant participate in during the course of OD programme” French and Bell”.
These are classified into three categories:
Behavioural techniques
These are designed to affect the behaviour of individuals as a group i.e., sensitivity training. This is a group interaction (of around 10-15 people) who are bought together in an open environment where people discuss themselves freely. No formal agenda is provided. There is also role playing, management by objectives and organisation developments.
Non-Behavioural techniques
These are more structured and include organisational redesign, work design and job enrichment. The latter is a motivational technique which looks at the need for challenging and interesting work. It is part of job design so that intrinsic motivation (linked to meaning) satisfaction is derived from doing the job. This works to also offer autonomy and pride to employees and will help to improve employee experience and engagement.
Miscellaneous
Survey feedback, this is one of the most popular and widely used interventions in OD which involves collecting data about the organisation through the use of surveys and questionnaires and conducting feedback meetings and workshops in which data is presented. Other things include process consultation and team building.
OD interventions in practice
Microsoft has used OD interventions that are aimed at behavioural and operational changes
Dell focused on Six Sigma as an OD intervention to ensure Zero defects
Toyota have focused on cultural interventions
Skills for an OD practitioner
As the field of OD is so multifunctional, forward looking, and critical you need certain skills to be an effective OD practitioner.
These include:
- Effective facilitation of large & multidisciplinary groups
- Coaching skills
- Improving individual and group effectiveness
- Project management
- Contracting for change
- Improvement methodology
Effective facilitation
This removes time wasted on unproductive discussions and enable decisions to be able to be reached quickly. Listening, questioning, observation, feedback, problem solving, manage boundaries, manage interpersonal relationships in the group
Coaching skills
Help people develop & improve, gain insights, and achieve objectives. Ask questions that allow for discovery or to develop thinking, active listening, challenging assumptions and build self-understanding through reflection
Improving individual and group effectiveness
Help people define standards of effectiveness and coach through process of change. Change management theory is useful here
Project management
Skills here include being able to define goals, agree objectives, agree responsibilities (using a RACI plan for example), agree terms of reference, establish timeline, keep tasks on time by tracking milestones, benefits, budgets.
Contracting for change
A repetitive process that should be revisited throughout the project. Setting out the mutual expectation, clarifying key deliverables, outcomes, timescales, resources, budget are all key skills
Improvement methodology
These are well established tools & techniques used as part of continuous improvement, for example, Six sigma, Lean, stakeholder management.
Getting OD right will ensure that your organisation continually evolves and improves to be an employer of choice.
If you want to chat to us more about OD, employee engagement or employee experience initiatives and interventions please drop us a note and say hello.
@Karen
