OD intervention, Type of intervention,

Eight Steps to Successful

Organizational Transformation
• Organization Development (OD) interventions
techniques are the methods created by OD
professionals and others. Single organization
or consultant cannot use all the interventions.
They use these interventions depending upon
the need or requirement.
 OD Interventions
• OD intervention are sets of structured
activities in which selected organizational
units(target groups or individuals) engage in a
task or a sequence of tasks with the goals of
the organizational improvement and
individual development.
 The most important interventions are

1. Survey feedback
2. Process Consultation
3. Sensitivity Training
4. The Managerial grid
5. Team Building and management by objectives
6. Job enrichment, changes in organizational
structure and participative management and
7. Quality circles
8. TQM
 Survey feedback:
• The intervention provides data and information to the
managers. Information on Attitudes of employees
about wage level, and structure, hours of work,
working conditions and relations are collected and
the results are supplied to the top executive teams.
They analyse the data, find out the problem, evaluate
the results and develop the means to correct the
problems identified. The team are formed with the
employees at all levels in the organization hierarchy
i.e, from the rank and file to the top level.
 Process Consultation :
• The process consultant meets the members of
the department and work teams observes the
interaction, problem identification skills,
solving procedures etc. He feeds back the
team either the information collected through
observations or coaches and counsels
individuals and groups in moulding their
behaviour.
 Sensitivity training
• Sensitivity training attempts to teach people
about themselves and why and how they
relate to, interact with, impact on, and are
impacted upon by others. Essentially, this is
accomplished by having trainees observe and
analyze their own, actual, "here and now"
behaviour in groups.
 Managerial grid
• This identifies a range of management
behaviour based on the different ways that how
production/service oriented and employee
oriented states interact with each other.
Managerial grid is also called as instrumental
laboratory training as it is a structured version
of laboratory training.
• It consists of individual and group exercises with
a view to developing awareness of individual
managerial style interpersonal competence and
group effectiveness. Thus grid training is related
to the leadership styles. The managerial grid
focuses on the observations of behaviour in
exercises specifically related to work.
Participants in this training are encouraged and
helped to appraise their own managerial style.
 There are 6 phases in grid OD:
• First phase is concerned with studying the grid
as a theoretical knowledge to understand the
human behavior in the Organization.
Second phase is concerned with team work
development. A seminar helps the members
in developing each member’s perception and
the insight into the problems faced by various
members on the job.
• Third phase is inter group development. This
phase aims at developing the relationships
between different departments
• Fourth phase is concerned with the creation of
a strategic model for the organization where
Chief Executives and their immediate
subordinates participate in this activity.
• Fifth phase is concerned with implementation
of strategic model. Planning teams are formed
for each department to know the available
resources, required resources, procuring them
if required and implementing the model.
• Sixth Phase is concerned with the critical
evaluation of the model and making necessary
adjustment for successful implementation.
 Team Building and Management by
Objectives
• Management by Objectives (MBO) is a
successful philosophy of management. It
replaces the traditional philosophy of
“Management by Domination”. MBO led to a
systematic Goal setting and Planning. Peter
Drucker the eminent management Guru in
1959 has first propagated the philosophy since
then it has become a movement.
• MBO is a process by which managers at different
levels and their subordinates work together in
identifying goals and establishing objectives
consistent with Organizational goals and attaining
them.

Team building is an application of various

techniques of Sensitivity training to the actual work
groups in various departments. These work groups
consist of peers and a supervisor.
 Job enrichment, changes in organizational structure
and participative management

• Job enrichment is currently practiced all over the

world. It is based on the assumption in order to
motivate workers, job itself must provide
opportunities for achievement, recognition,
responsibility, advancement and growth. The basic
idea is to restore to jobs the elements of interest
that were taken away. In a job enrichment program
the worker decides how the job is performed,
planned and controlled and makes more decisions
concerning the entire process.
 Quality circles
• The concept is a form of group problem solving and goal
setting with a primary focus on maintaining and enhancing
product quality.
• Extensively used in Japan.
• Quality circles consist of a group of 7 – 10 employees from
a unit; who have volunteered to meet together regularly to
analyze and make proposals about product quality and
other problems.
• Morale and job satisfaction among participants were
reported to have increased.
• Quality circles contributes toward total quality
management.
 TQM
• Also called continuous quality improvement.
• A combination of a number of organization
improvement techniques and approaches, including
the use of quality circles, statistical quality control,
statistical process control, self-managed teams and
task forces, and extensive use of employee
participation.
 TQM
• Features that characterize TQM:
– Primary emphasis on customers.
– Daily operational use of the concept of internal customers.
– An emphasis on measurement using both statistical quality control
and statistical process control techniques.
– Competitive benchmarking.
– Continuous search for sources of defects with a goal of eliminating
them entirely.
– Participative management.
– An emphasis on teams and teamwork.
– A major emphasis on continuous learning.
– Top management support on an ongoing basis.
 Eight Steps to Successful
Organizational Transformation

• John Kotter, the retired Harvard Business

School professor published in 1995, the article
'Why Transformation Efforts Fail'. The change
management article outlines eight critical
success factors from establishing a sense of
extraordinary urgency, to creating short-term
wins, to changing the culture ("the way we do
things around here").
• Kotter identified eight stages of change a
company must successfully complete to
achieve lasting sustainable change and
business improvements, and eight reasons
why transformation efforts fail.
• In addition to the eight stages necessary for obtaining and
maintaining successful organizational change, Kotter also
identifies corresponding possible pitfalls for each stage
that can derail the change project all-together.

Following are the eight critical success factors of the John

P Kotter change management model for leading change,
and the eight major errors identified in the change
management article that can halt a change project, or
even destroy any positive change management plans and
changes made thus far.
 1. Establishing a Sense of Urgency

• During this first step it is essential to acquire the cooperation of

many individuals and to ensure they are motivated to participate.
Kotter writes in the article that well over 50% of the companies
he watched failed in this first phase.
• · Begin by examining the firm's competitive realities, market
trends, and the effects on financial performance.
• · Communicate this information dramatically in respect of the
potential crises.
• · Convince at least 75% of a company's management that the
current situation is totally unacceptable, and pursuing change is
less risky than maintaining the status quo. Build motivation,
involvement and support.
 John Kotter Risk 1
• Kotter refers to this risk of this first phase as: Not Establishing
a Great Enough Sense of Urgency
•  
• · When the urgency rate is not high enough to prevent very
serious internal problems later on in the process.
• · Underestimating the complexities and potential struggles
required to shift management and staff from their comfort
zones.
• · Tendencies to become overwhelmed by the risk involved in
retreating to the status quo.
 
 2. Forming a Powerful Guiding Coalition

• · Form a powerful coalition is terms of titles,

information and expertise, reputations, and
relationships.
• · Operate outside of the normal hierarchy by
definition, outside of formal boundaries,
expectations, and protocol.
• · Emphasis team work and whilst recognizing
the power of a strong line management
leadership within the coalition.
 John Kotter Risk 2
• Not Creating a Powerful Enough Guiding
Coalition
•  Maintaining the existing hierarchy where if that
were working well, there would be no need for a
major transformation.
• · Coalition members having no history of
teamwork at the top and therefore undervalue
the coalitions importance.
• · Not lead by a strong line manager.
 3. Creating a Vision
• · A vision beyond the numbers that clearly
defines where the organization is going.
• · Clear and precise project plans that take the
organization in the direction it needs to move
to achieve the vision.
 John Kotter Risk 3: Lacking a Vision

• Plans, directives, and programs with no

vision, but confused staff.
• List of confusing and incompatible projects
and activities that can take the organization in
the wrong direction or nowhere at all.  
 4. Communicating the Vision

• Brighten up the companies existing

communications methods. Try new and
different methods for sharing the vision.
• Use every vehicle possible to communicate
the strategies for achieving it.
• Emphasise and teach new behaviours by the
example of the guiding coalition.
John Kotter Error 4: Under communicating the Vision by a Factor of Ten

• · A vision is developed, but only a single form

of communication is used.
• · Management not walking the talk. Deeds
speak louder than words.
• · Not enough communication to remind of the
desired behaviours.
 5. Empowering Others to Act on the Vision

• · Action is essential in getting rid of obstacles to

change and in time, the big ones must be confronted
and removed.
• · Empower people to maintain the credibility of the
change effort as a whole, to try new approaches, to
develop new ideas, and to provide leadership.
• · Change Systems and structures that seriously
undermine the vision.
• · Encourage risk taking and nontraditional ideas,
activities, and actions.
John Kotter Error 5: Not Removing Obstacles to the New Vision

• · Failing to remove powerful individuals who

resist the change effort and who resist
individual employees who want to help make it
happen.
• · Organizational structures such as human
resource systems that remain intact even when
there are clearly inconsistent compensation or
performance-appraisal structures.
 6. Planning for and Creating Short-Term Wins

• · Develop clear performance improvements

goals and measurement systems and reward
the people involved when they are achieved.
• · Maintain commitments to achieve short
term goals to help maintain a high urgency
level and force deep thinking that can clarify
visions.
 John Kotter Error 6: Not Systematically Planning for, and Creating,
Short-Term Wins
 

• · Without short-term wins, too many people give up

or actively join the ranks of those people who have
been resisting change.
• · Absence of defined and measured short term goals -
urgency levels can drop.
• · Leaving results to chance.
7. Consolidating Improvements and Producing Still More Change

• · Use increased credibility from early wins to

change 'the old way we do things around here'
systems, structures, and policies that are
undermining the vision and have not been
confronted before.
• · Understand that renewal efforts take not just
months but often years.
• · Promote, hire, develop employees and use
change agents who can implement the vision.
 John Kotter Error 7: Declaring Victory Too
Soon
• · Declaring victory before the changes and
business improvements have sunk deeply into
a company's culture.
• · Having premature victory celebrations that
kill ongoing momentum.
• · Allowing the powerful resistors associated
with tradition take over.
•  
 8. Institutionalizing New Approaches

• · Communicate frequently how the new

approaches, behaviours, and attitudes have
improved performance.
• · Create leadership development and
succession plans consistent with the new
approach.
John Kotter Error 8: Not Anchoring Changes in the Corporation's Culture

• · New behaviours not rooted in social norms and shared

values; they are subject to degradation as soon as the
pressure for change is removed.
• · Not ensuring that the next generation of top
management understand the transformation that has
taken place and personify themselves, the new approach
• · Poor succession decisions because boards of directors
are not an integral part of the renewal effort.
•