UNIT –V Presented By Senthil kumar.N

Today's Discussion Review of last class Organizational development & organizational effectiveness UNIT V O & B

ORGANIZATIONAL DEVELOPMENT According to George R. Terry, “ organizational development includes efforts to improve results by getting the best from employees, individually and as members of working groups” UNIT V O & B

ORGANIZATIONAL DEVELOPMENT DEFINITION According to R. Beckhard, “ OD is an effort: 1). Planned 2). Organization wide 3). Managed from the top 4). To increase organization effectiveness and health 5). Through planned interventions in the organization’s processes, using behavioral science knowledge” UNIT V O & B

CHARACTERISTIC OF OD  OD is a planned strategy to bring about organizational change  OD always involves a collaborative approach to change  OD programs include an emphasis on ways to improve and enhance performance  OD relies on a set of humanistic values about people and organizations  OD represents a systematic approach  OD is based upon scientific approaches to increase organizational effectiveness UNIT V O & B

OBJECTIVE OF OD To increase openness of communication among people To increase commitment, self direction and self control To encourage the people who are at the helm of affairs or close to the point of actual action to make the decisions regarding their issues through collaborative effort To involve the members in the process of analysis and implementation To encourage the confrontation regarding organizational problems with a view to arriving at effective decisions UNIT V O & B

To enhance the personal enthusiasm and satisfaction levels To increase the level of trust and support among employees To develop strategic solutions to problems with higher frequency To increase the level of individual and group responsibility in planning and execution UNIT V O & B

ORGANIZATIONAL EFFECTIVENESS According to Amitai Etizioni, “ Effectiveness is the degree to which with organization realizes its goal” UNIT V O & B

IMPORTANCE OF ORGANIZATIONAL EFFECTIVENESS It enhances the potential for job success, promotional opportunities, and longevity with the employer It provides a structure for organizing one’s work It increases understanding of the way big organizations operate It challenges the way organizations operate UNIT V O & B

LEVELS OF ORGANIZATIONAL EFFECTIVENESS Individual level effectiveness Group level effectiveness Organizational effectiveness Achievement of organizational effectiveness is the outcome of organizational effectiveness. But it depends on the contribution of the individual employee s, groups and the total organization UNIT V O & B

THREE LEVELS OF EFFECTIVENESS UNIT V O & B Individual effectiveness Group effectiveness Organizational effectiveness

1).Individual level effectiveness depends upon the employee positive attitude, commitment to and involvement in organizational activities. Individuals contributions to organizational effectiveness depend on individuals skills, abilities, aptitude, emotions, knowledge, attitude motivation and stress UNIT V O & B

2). Employee today prefer work along with others in order to satisfy their individual needs and achieve organizational goals through the impact of synergy. Consequently, groups and employees in a group contribute much the organizational success. Group contributions to organizational effectiveness depends upon group cohesiveness, leadership, group structure, status, roles and norms. UNIT V O & B

3). Effective contributions of individual employees and group groups result in organizational effectiveness. Organizational effectiveness depends upon individual contribution, group contribution in addition to environment, technology strategic choice, organizational structure, process and organizational culture UNIT V O & B

CRITERIA FOR ORGANIZATIONAL EFFECTIVENESS Direction Delegation Accountability Control Efficiency Coordination Adaption Social system and personal effectiveness UNIT V O & B

1) Direction I) setting objective II) long and short term planning III) entrepreneurship and sound investment IV) devising appropriate organizational structure V) maintain a factorable image of the enterprise UNIT V O & B

2). Delegation: Motivation by encouraging well judged decisions close to point of selection 3). Accountability: Clear understanding of who is accountable for what (without any gaps) 4). Control: it deals with monitoring performance against objectives and standards 5). Efficiency: optimum use of resources and the achievement of planned levels of output with minimum costs; input output ratio. UNIT V O & B

6). Coordination: it is related to integrate the activities and contribution of different parts of the enterprise 7).Adaptation: to measure effectiveness of an enterprise 8). Social system and personal effectiveness: maintenance of social systems and terms and conditions of employment in order to enlist people’s commitment. UNIT V O & B

APPROACHES OF ORGANIZATIONAL EFFECTIVENESS Goal attainment approach Systems approach Strategic constituencies approach Competing values approach UNIT V O & B

APPROACHES TO MEASURING ORGANIZATIONAL EFFECTIVENESS Goal Approach: Effectiveness is the ability to excel at one or more output goals. Internal Process Approach: Effectiveness is the ability to excel at internal efficiency, coordination, motivation, and employee satisfaction. System Resource Approach: Effectiveness is the ability to acquire scarce and valued resources from the environment.

APPROACHES TO MEASURING ORG. EFFECTIVENESS, CONTINUED Constituency Approach: Effectiveness is the ability to satisfy multiple strategic constituencies both within and outside the organization. Domain Approach: Effectiveness is the ability to excel in one or more among several domains as selected by senior managers.

Competing - values Approach :It presents an integrative framework for estimating organizational effectiveness. The entire concept is based on a fundamental fact, which is clear from its title, that different people comprising the organization such as stockholders, creditors, workers, thinkers, area specialists will evaluate effectiveness of an organization from their own point of view. UNIT V O & B

Flow Charts of Approaches to Organizational Effectiveness – Goal Approach TRANSFORMATIONINPUTSOUTPUTS GOAL APPROACH

Flow Charts of Approaches to Organizational Effectiveness – Internal Process Approach TRANSFORMATIONINPUTSOUTPUTS INTERNAL PROCESS APPROACH

Flow Charts of Approaches to Organizational Effectiveness – System Resource Approach TRANSFORMATIONINPUTSOUTPUTS SYSTEM RESOURCE APPROACH

Flow Charts of Approaches to Organizational Effectiveness – Constituency Approach TRANSFORMATION INPUTSOUTPUTS STRATEGIC CONSTITUENCIES APPROACH

THANK YOU,,,,, UNIT V O & B