Theories of Organizational Change II: Organizational Development Theory
Organizational development (OD) is both a philosophy and an approach to organizational change that view organizations as systems of human beings. OD theory grew out of the recognition that organizational structures and processes influence worker behavior and motivation. OD theory concerns the identification of problems that impede an organization s functioning, rather than the introduction of a specific type of change. Human relations and the quality of life at work are often the targets of Organizational Development Theory.
There are three important concepts in OD theory and we will discuss them briefly.
Organizational Climate
Put simply, organizational climate refers to the mood or personality of the organization. It is dynamic and can be measured by the collective beliefs and perceptions individuals hold of the organization where they live and work. The climate of the organization can have a powerful influence on whether any new health promotion programs can be successfully implemented.
Organizational Culture
Organizational culture is closely related to organizational climate. However, they also have important differences. Organizational culture is more stable and resistant to change.
A simplistic definition of organizational culture is The way we do things around here.
Often, organizational culture includes the following elements:
Organizational Capacity
Organizational capacity refers to the resources, knowledge, and processes employed by the organization. It is influenced by organizational climate and organizational culture.
Take public health agencies as an example, organizational capacity can include the following elements;
Action research: The sequence of actions needed for producing organizational change
Action research is a popular approach in OD that identifies the sequence of actions needed for producing change in the organization. These four steps include:
1) Diagnosis - a specially trained person, usually an outside consultant, helps the organization identify its most striking problems which interfere with its functions, usually through a formal survey.
2) Action Planning - strategies are developed for addressing these diagnosed problems.
3) Intervention - the consultant usually does not offer specific solutions but will aid in problem solving among the organization's members in group interactions.
4) Evaluation - the effort of the planned changes is assessed, and these changes in the organization are allowed to settle.
Critiques of the OD theory
First, OD theory needs refinement in both theory and practice. Researchers have challenged some of the basic assumptions of OD theory, such as the willingness of the organization to change. Second, most OD interventions are not specific to the stage of development of the organization.
In conclusion, Stage Theory and Organizational Development Theories have the greatest potential for creating positive health changes in organizations when used together. One example would be using consultation (OD Theory) as the intervention in both the adoption and institutional stages (Stage Theory) in an organizational change.