1. Welcome back! Agenda  Class Announcements  Overview of Reading  Practice Groups/Teams Analysis  Case Presentations and Discussion  Getting ready for the field! Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-1

2. Organization Development and Change Diagnosing Organizations

3. Cummings & Worley,9e (c) 2008 South-Western/Cengage Learning 2-3 General Model of Planned Change Evaluating and Institutionalizing Change Planning and Implementing Change Diagnosing Entering and Contracting

4. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-4 Diagnosis Defined Diagnosis is a collaborative process between organizational members and the OD consultant to collect pertinent information, analyze it, and draw conclusions for action planning and intervention.

5. Data Collection & Feedback Cycle Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-5 Follow-up Feeding Back Data Analyzing Data Collecting Data

6. Successful diagnosis depends on… Your ability to collect appropriate information to understand what is really happening in the organization Your ability to facilitate organizational action Your ability to direct energy toward organization problem solving Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-6

7. Effective Diagnosis How to choose the right data/info to pay attention to:  Relevant: Is the info meaningful?  Understandable: Can you interpret the data?  Consistent: Are there patterns?  Descriptive: Can you make a link to examples?  Verifiable: Is the data valid and accurate  Timely: Is the data out of date or current?  Comparative: What is similar/different from other successful firms? 5-7

8. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-8 Open Systems Model Inputs Information Energy People Transformations Social Component Technological Component Outputs Goods Services Ideas Environment Feedback

9. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-9 Properties of Systems Inputs, Transformations, and Outputs Boundaries Feedback Equifinality Alignment

10. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-10 Diagnosing Organizational Systems The key to effective diagnosis is…  Know what to look for at each organizational level  Recognize how the levels affect each other

11. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-11 Organization-Level Diagnostic Model Inputs Technology Strategy Structure HR Measurement Systems General Environment Industry Structure Design Components Culture Organization Effectiveness Outputs

12. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-12 Key Alignment Questions Do the Design Components fit with the Inputs? Are the Design Components internally consistent? Do they fit and mutually support each other?

13. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-13 Organization Environments and Inputs Environmental Types  General Environment  Task Environment and Industry Structure  Rate of Change and Complexity  Enacted Environment Environmental Dimensions  Information Uncertainty  Resource Dependency

14. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-14 Organization Design Components Strategy  the way an organization uses its resources (human, economic, or technical) to gain and sustain a competitive advantage Technology  the way an organization converts inputs into products and services Structure  how attention and resources are focused on task accomplishment

15. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-15 Organization Design Components Human Resource Systems  the mechanisms for selecting, developing, appraising, and rewarding organization members Measurement Systems  methods of gathering, assessing, and disseminating information on the activities of groups and individuals in organizations

16. 16 Organization Design Components Organization Culture  The set of shared beliefs, expectations, values, and norms that shape attitudes and behavior in organizations The “ right ” way to behave, think, or feel  Emerges from the shared history of a stable social group  Vary in strength & intensity

17. 17 Functions that Culture Serves Sense making  enables people to understand decisions & goals Social glue  provides a basis for promoting similarities among people and creating common bonds Organizational identity  highlights organizational characteristics that distinguish it from others Facilitates commitment  creates a place where people want to stay & contribute Control mechanism  provides guidelines about appropriate and inappropriate behaviors

18. 18 Artifacts u Objects with cultural meaning u Ceremonies and rites u Stories u Language & Symbols u Difficult to interpret without other levels Basic Assumptions u About reality, time, and space u About human nature and relationships u Most visible when challenged What you observe What you are told What you take for granted “Preconscious” SOURCE: Schein, Edgar H. Organizational Culture and Leadership: A Dynamic View, Fig. 1, p. 14. Copyright 1985 by Jossey-Bass, Inc, Publishers, ISBN 0-87589-639-1. Values u What is considered important by the organization’s members u Can be misleading Levels of Organizational Culture

19. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-19 Outputs Organization Performance  e.g., profits, profitability, stock price Productivity  e.g., cost/employee, cost/unit, error rates, quality Stakeholder Satisfaction  e.g., market share, employee satisfaction, regulation compliance

20. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-20 Organization-Level Diagnostic Model Inputs Technology Strategy Structure HR Measurement Systems General Environment Industry Structure Design Components Culture Organization Effectiveness Outputs

21. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-21 Alignment Diagnosis involves understanding each of the parts in the model and then assessing how the elements of the strategic orientation align with each other and with the inputs. Organization effectiveness is likely to be high when there is good alignment.

22. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 6-22 Goal Clarity Task Group Structure Functioning Group Performance Composition Norms Group-Level Diagnostic Model InputsDesign ComponentsOutputs Organization Design Group Effectiveness

23. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 6-23 Group-Level Design Components Goal Clarity  extent to which group understands its objectives Task Structure  the way the group ’ s work is designed Team Functioning  the quality of group dynamics among members Group Composition  the characteristics of group members Performance Norms  the unwritten rules that govern behavior

24. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 6-24 Group-Level Outputs Product or Service Quality Productivity  e.g., cost/member, number of decisions Team Cohesiveness  e.g., commitment to group and organization Work Satisfaction

25. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 6-25 Goal Clarity Task Group Structure Functioning Group Performance Composition Norms Group-Level Diagnostic Model InputsDesign ComponentsOutputs Organization Design Group Effectiveness

26. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 6-26 Skill Variety Task Identity Autonomy Task Feedback Significance about Results Individual-Level Diagnostic Model InputsDesign ComponentsOutputs Organization Design Group Design Personal Traits Individual Effectiveness

27. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 6-27 Individual-Level Design Components Skill Variety  The range of activities and abilities required for task completion Task Identity  The ability to see a “ whole ” piece of work Task Significance  The impact of work on others Autonomy  The amount of freedom and discretion Feedback about Results  Knowledge of task performance outcomes

28. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 6-28 Individual-Level Outputs Performance  e.g., cost/unit, service/product quality Absenteeism Job Satisfaction  e.g., internal motivation Personal Development  e.g., growth in skills, knowledge, and self

29. Assembly line video Use the diagnostic model at the following levels of analysis:  Organizational  Group/Team  Individual Is there alignment between components? Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-29

30. Organizational Diagnosis Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-30

31. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-31 Quick Review: Who is the OD Practitioner? Why is the practitioner here? Who does the practitioner work for? What does the practitioner want and why? How will my confidentiality be protected? Who will have access to the data? Can the practitioner be trusted?

32. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-32 Data Collection - Feedback Cycle Planning to Collect Data Collecting Data Analyzing Data Feeding Back Data Following Up Core Activities

33. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-33 Sampling Population vs. Sample Importance of Sample Size Process of Sampling Types of Samples  Random  Convenience

34. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-34 Questionnaires Major Advantages  Responses can be quantified and summarized  Large samples and large quantities of data  Relatively inexpensive Major Potential Problems  Little opportunity for empathy with subjects  Predetermined questions -- no change to change  Over interpretation of data possible  Response biases possible

35. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-35 Interviews Major Advantages  Adaptive -- allows customization  Source of “ rich ” data  Empathic  Process builds rapport with subjects Major Potential Problems  Relatively expensive  Bias in interviewer responses  Coding and interpretation can be difficult  Self-report bias possible

36. Types of questions Experience and behavior questions Opinion and value questions Feeling questions Knowledge questions Background/demographic questions

37. Critical Assessment of Questions How are members organized? How much do you rely on members of the your organization to perform your daily tasks? So I don't suppose you'd say that your job is rewarding? Can you provide an example of a time that you felt supported by a member of your organization? A time when you felt let down? I can imagine that your job is quite boring - is that right? So you would describe your work as causing occasional stress. Is it even worse that that?

38. Acceptable kinds of questions Descriptive/linear questions - e.g. Please could tell me what you do in your job? Narrative questions - e.g. Can you tell me about how you came to get the job? Structural questions - e.g. So what are all the stages involved in the process of making different kinds of coffee? Contrast questions - e.g. What are the main the differences that distinguish good day at work from a bad day at work? Evaluative questions - e.g. How do you feel after a bad day at work? Systemic questions -  Circular e.g. What do you think your supervisor thinks about how you do your job?  Comparative e.g. How do you think your life would be different if you worked somewhere else, like at coffee bean or barnies? Prompts and probes - e.g. Can you tell me a bit more about that? What do you mean by ‘fast-paced?'

39. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-39 Observations Major Advantages  Collects data on actual behavior, rather than reports of behavior  Real time, not retrospective  Adaptive Major Potential Problems  Coding and interpretation difficulties  Sampling inconsistencies  Observer bias and questionable reliability  Can be expensive

40. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-40 Unobtrusive Measures Major Advantages  Non-reactive, no response bias  High face validity  Easily quantified Major Potential Problems  Access and retrieval difficulties  Validity concerns  Coding and interpretation difficulties

41. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-41 Analysis Techniques Qualitative Tools  Content Analysis  Force-field Analysis Quantitative Tools  Descriptive Statistics  Measures of Association (e.g., correlation)  Difference Tests

42. Using Visual Tools How can data be visualized? What sorts of ways could OD consultants extract data through visual tools? Why might it be beneficial to provide visual feedback to the firm? Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-42

43. Slade Plating What information would you use to make an accurate diagnosis? What additional information would you like? Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-43

44. Informal & Formal Groups What are the pros of informal groups? What are the cons? Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-44

45. Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 7-45 Competition from other groups Supervisor pressures Group performance norms Better raw materials New technology Well-learned skills Member complacency Fear of change Force-Field Analysis of Work Group Performance Forces for Change Forces for Status Quo Current Performance Desired Performance

46. Slade Plating What is your diagnosis given the information that you have? Draw upon the diagnostic models! What recommendations would you make to help this organization? Bonus: Should top management make their knowledge of the skimming known to the employees? Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-46

47. Field Project Assignment Overview Docs Field Assignments Cummings & Worley, 9e (c) 2008 South-Western/Cengage Learning 5-47