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Organization Development Interventions

Chapter One
Organization Development Interventions

1.1 Concept & Background to the Study

Organization development is a field of research, theory and practice dedicated to


expanding the knowledge and effectiveness of people to accomplish more
successful organizational change and performance. Organization development
emerged from human relations studies in the 1930s, during which psychologists
realized that organizational structures and processes influence worker behavior and
motivation. More recently, work on Organization development has expanded to focus
on aligning organizations with rapidly changing and complex environments through
organizational learning, knowledge management and transformation of organizational
norms and values.

Basically, Organization Development is a planned system of change. Whether


Organization Development Interventions are set 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 organizational improvement and individual
development.

Organizational Development (OD) Interventions are structured program designed to


solve a problem, thus enabling an organization to achieve the goal. These intervention
activities are designed to improve the organization’s functioning and enable managers
and leaders to better manage their team and organization cultures. These OD
interventions are required to address the issues that an organization might be facing
ranging from process, performance, knowledge, skill, will, technology, appraisal,
career development, attrition, top talent retention and the list can actually be pretty
exhaustive.

1.2 The Problem Statement

Organization is the primary source of maximum wage earners in where we have to pass
about 30-40 years of life. So, developing & moderating family place is not so important
than organization development.
But most of the cases, we forget to calibrate the role of organization development &
pay a negative attitude toward the key driver of development, individual employee. It
should be changed, moderated & intervened while focusing on the importance of OD
Interventions.
Organization Development Interventions

1.3 Objectives of Research


1.3.1 Broad Objective

Assessment of OD Interventions in individual life which are aimed at improving


organizational effectiveness through changes in the tasks, structure, technology & goals
of the organization.

1.3.2 Specific Objectives


 To specify the concept of OD interventions
 To identify the role of OD interventions in individual life.
 To assess the impact of OD interventions

1.4 Limitations of the Study

Time Limitation is the only limitation we have faced while preparing the report. Due to
time limitations many aspects may not be discussed properly in the report.
Organization Development Interventions

Chapter-Two
Literature Review
Organization Development Interventions

2.1 Literature Review

According to Beckhard (1969), OD is an effort


1. Planned
2. Organization – wide
3. Managed from the top, to
4. Increase organization effectiveness and health through
5. Planned interventions in the organizations “processes,” using behavioral
science knowledge.

OD is a systematic application of behavioral science knowledge to the planned


development and reinforcement of organizational strategies, structures, and processes
for improving an organization’s effectiveness. (Cummings & Worley, 1993)

Organization development is a long-term effort, led and supported by top management,


to improve an organizational visioning, empowerment, learning, and problem-solving
processes, through an ongoing, collaborative management of organizational culture
with special emphasis on the culture of intact work teams and other team configurations
using the consultant facilitator role and the theory and technology of applied behavioral
science, including action research. (French & Bell, 2001)

There is some important facet to ensure the individuals job satisfaction. The author
mentions some important factors of OD to increase the employee satisfaction, and they
are: work rewards, flexible time, security, open communication, career growth plans,
job enrichment etc. The author also mentioned the increase of those factors will increase
the employee’s job satisfaction and productivity of their work and also for their quality
of life.

Behavior Modeling

Behavior modeling in the workplace, a component of social learning theory, is the act
of showing employees how to do something and guiding them through the process of
imitating the modeled behavior. Behavior modeling has practical applications for daily
work tasks as well as deeper applications for developing company culture. (David
Ingram)
Organization Development Interventions

Career Planning

According to Schermerhorn (2002) “Career planning is a process of systematically


matching career goals and individual capabilities with opportunities for their
fulfilment.”
Examines the conditions under which career goal setting contributes to effective career
management. Views career management as a process by which individuals can make
informed decisions regarding their work lives. (Jeffrey H. Greenhaus)

Employee Empowerment

Empowerment is about employees exercising discretion, autonomy, power and control


in their job to deliver expected performance.

Conger and Kanungo (1988) defined empowerment as the motivational concept of


self-efficacy. Therefore, it has a generally wider agenda and interests of the
organization.

Menon’s (2001) definition of empowerment as “moving decision making authority


down the (traditional) organizational hierarchy” summarizes the essence of
empowerment.

In summary, empowerment is about enhancement of employees’ autonomy in their


work, and an increased involvement and influence in decision making.

Self-Managed Teams

In 1990, Development Dimensions International, the Association for Quality and


Participation, and Industry Week conducted a study on the current practice surrounding
self-directed teams.

The study defined a self-managed team as “a group of employees who have day-to-day
responsibility for managing themselves and the work they do. Members of self-
managed teams typically handle job assignments, plan and schedule work, make
production-related decisions, and take action on problems.

Besides, members of self- managed teams work with a minimum of direct supervision.
As such, the teams are not quality circles or cross-functional task groups. These teams
are characterized by:
Organization Development Interventions

 Face-to-face interaction in natural work groups.


 Responsibility for producing a definable product.
 Responsibility for a set of interdependent tasks and
 Control over managing and executing tasks.

Self – managed teams will remain part of the organizational landscape. There are at
least thirty years of research on the benefits and cost of these forms of groups. At the
same time, the nature of work is changing to be more distributed, global, and with a
premium on knowledge work. One interesting challenge is how one can retain the basic
desirable features of a self – managed teams and at the same time adapt it to a changing
work environment. (Paul S. Goodman and Uriel J. Haran)

Stress Management

Omolara (2008) described occupational stress as the adverse psychological and


physical reactions that occur in an individual as a result of their being unable to cope
with the demands being made on them.

According to Swanepoel (1998) work related stress has been a topic that has received
increasing attention, in the area of occupational health over the last three decades. These
authors were of the opinion that the world, especially the world of work and business,
has become increasingly subject to fast changing forces like increased competition, the
pressure of quality, innovation and an increase in the pace of doing business. The
demands on employees grew equally dramatically and this created stress within
employees.

Apart from stress that arose from the work situation, other sources of stress could relate
to personal factors such as relationships with others and use of free time. Stress can
therefore be described as the adverse psychological and physical reactions that occur in
an individual as a result of his or her inability to cope with the demands being made on
him or her. (Moorhead and Griffen, 1998)

According to Robbins (2004), “stress is a dynamic condition in which an individual is


confronted with opportunity, constraint or demand related to what he desires and for
which the outcome is perceived to be both uncertain and important.”
Organization Development Interventions

Quality of Work Life

According to Harrison (1985), quality of work life is the degree to which the working
organization contributes to material and psychological well-being of its members. The
Quality of work life as “a process of joint decision making, collaboration and building
mutual respect between management and employees”, it is concerned with increasing
labor management co-operation to solve the problems, improving organizational
performance and employee satisfaction.

According to the American Society of Training and Development (1979), quality


of work life is a process of work organization which enables its members at all levels
to actively participate in shaping the organization’s environment, methods and
outcomes.

Frederic, W. Taylor (1974) was the advocate of Scientific Management Movement.


As a result of Industrial Revolution, there arose a great need to increase productivity of
the organization. Taylor attempts to achieve this, with the idea of ‘Scientific
Management’, of ‘Time Study’ and ‘Work Study’. He viewed that the burden of
planning and designing the work should be removed from the shoulders of workers.
They should be given specific task and clear instructions beforehand as to how a
particular job should be done. He also advocated “Division of Work” which means that
instead of assigning a work entire job, divide it into two parts, and assign each part to
a different worker. As such, each worker will have to do only a part of the total job,
thus specializing in that work. Taylor hoped that such specialization would quicken the
production process. He further advocated various incentive-schemes which would
enable a worker, who achieves a particular level of production, to earn certain
percentage of incentive.

Taylor, through his time and work study, division of labor and incentive schemes, tried
to improve the quality of work life of employees. Through incentive schemes and
division of labor, Taylor contributed towards quality of work life.

With the help of time-work study and motion study, Taylor viewed that workers can be
briefed exactly on what is to be done, when, where and how, leaving practically
nothing to their discretion. Taylor has put his thoughts in print in his book “the
Principles of Scientific Management” in 1911 which was the most popular work of that
period, and influenced not only the American Industry, but Industry all over the world.
Organization Development Interventions

Work Redesign

According to J. Richard Hackman and Greg Oldham, (1969) provide an OD


approach to work redesign based on the Job Characteristics Model. From his study we
got to know that, he finds out skill variety, task identity, task significance is the three
dimensions for the work redesign. There are two more dimension, one is autonomy and
the other one is feedback. These consequences provide positive psychological states
when they are maintained properly for individual well-being.

According to Alber (2007), Work redesign is designing and redesigning jobs in such
a way that they become attuned to what individual employees are able and willing to
do as an important issue in the world of work today. Job redesign aims to improve jobs
in the organization.

According to Turner & Lawrence (2005), The goal of job design and job redesign is
to reconstitute jobs or work roles in terms of work functions and worker capabilities
that are both appealing to individuals and are in alignment with the organization’s
strategy and vision.

Job redesign can improve organizational performance through job rotation, horizontal
job enlargement, vertical job enlargement and the creation of autonomous working
groups. In job rotation, workers can change places from time to time. Under this system
the job of each worker may be simple, but variety is introduced as they swap places.
Workers can learn to carry out any number of the tasks, instead of staying put at one
position on the line. (Slocum & Sims, 2000)

Training

An often-referred source of definitions has been the Manpower Services


Commission’s (1981) Glossary of training terms defines training as- a planned
process to modify attitude, knowledge or skill behavior through learning experience
to achieve effective performance in an activity or range of activities. Its purpose in
the work situation, is to develop the abilities of the individual and to satisfy the current
and future needs of the organization.

Oribabor submitted that training and development aim at developing competences


such as technical, human, conceptual and managerial for the furtherance of individual
and organization growth.
Organization Development Interventions

Isyaku postulated that the process of training and development is a continuous one.
According to Cole in his book Personnel and Human Resource Management,
training is a learning activity directed towards the acquisition of specific knowledge
and skills for the purpose of an occupation or task. The focus of training is the job or
task for example, the need to have efficiency and safety in the operation of particular
machines or equipment, or the need for an effective sales force to mention but a few.

Management by Objectives (MBO)

Management by objectives (MBO) was first popularized by Peter Drucker in 1954 in


his book “The Practice of Management”.

According to George Odiome, MBO is "a process whereby superior and subordinate
managers of an Organization jointly define its common goals, define each individual's
major areas of responsibility in terms of results expected of him and use these measures
as guides for operating the unit and assessing the contribution of each of its members."

According to John Humble, MBO is "a dynamic system which seeks to integrate the
company's needs to clarify and achieve its profits and growth goals with the manager's
need to contribute and develop himself. It is a demanding and rewarding style of
managing a business."
Organization Development Interventions

Chapter 3
Methodology
Organization Development Interventions

3.1 Data Collection Procedure

We have collected data from secondary sources where internal & external
environmental sources are available. Prior research report, different books &
periodicals, previous reports, journals & so on are used as the source of
information. Moreover, various library sources like textbooks also have been used to
compile the study properly.

3.2 Data Processing Procedure

For processing data what we gathered, we have used the different types of computer
software’s are used for reporting the gathered information from the analysis, such as
Microsoft Word, Microsoft Power Point & so on.

3.3 Gantt Chart

Activities Time Line


Week 1 Week 2 Week 3 Week 4
Preliminary Phase

Construction of Study
Literature Review

Analysis Phase

Collection of Data
Analysis of Data
Interpretation & Findings

Paper Preparation Phase

Preparing Draft Paper


Reviewing Paper

Paper Submission Phase

Preparing Final Paper


Submission of Paper
Organization Development Interventions

Chapter 4 Analysis
Organization Development Interventions

4.1 Behavior Modeling

Behavior modeling in the workplace, a component of social learning theory, is the act
of showing employees how to do something and guiding them through the process of
imitating the modeled behavior. Behavior modeling has practical applications for daily
work tasks as well as deeper applications for developing company culture.

Behavior Modeling involves:


1. Showing candidates the correct way of doing something
2. Letting them practice
3. Giving them the feedback

Behavior Modeling acts through some attempts which refers to its process.
Modeling: Candidates watch live or videos examples that shows the correct
behavior in a problem situation.
Role Playing: Candidates rehearse and practice on some of the problem
situation in a simulated environment.
Feedback: The supervisor provides constructive feedback to all the candidates.
Execution: Candidates are encouraged to apply their newly acquired skills
when they are back on their jobs.

4.1.1 Advantages of Behavior Modeling

The reasons behind implementing Behavior Modeling in the workplace are as follows:

Low Implementation Cost


Cost of implementing behavior modeling is low as compared to other training methods.

Focused on Real Behavior


It focuses on real behavior rather than theories which helps the employees to cope up
with the real scenario.

Improve Individual Success


Positive behavior modeling can have positive impact on the workplace and improve
individual success and reach organizational desired results.

Engage Employee
It helps employees to engage in positive manner in any problem situation which
emerges future success & betterment.
Organization Development Interventions

4.1.2 Disadvantages of Behavior Modeling

Lacks Adequate Theory


Although behavior modeling has been applied in many organizations successfully,
there are still weaknesses as it lacks adequate theory.

Lack of Incorrect Behavior


Lack of incorrect behavior examples which often lead to imperfect understanding.

4.2 Career Planning

Career is a sequence of attitudes and behaviors associated with the series of job and
work-related activities over a person’s lifetime. According to Schermerhorn, Hunt,
and Osborn, “Career planning is a process of systematically matching career goals and
individual capabilities with opportunities for their fulfilment.”

Yet in another way, it may be defined as a succession of related jobs, arranged in


hierarchical order, through which a person moves in an organization. We have to keep
in mind that career planning is a continuous process that allows us to move from one
stage to another stage as your life changes. Whether career management is a process by
which individuals can guide, direct and influence the course of their careers.

4.2.1 Career Planning Process

The career planning process involves the following steps:

Identifying individual needs and aspirations


Most individuals do not have a clear-cut idea about their career aspirations, anchors and
goals. The human resource professionals must, therefore, help an employee by
providing as much information as possible showing what kind of work would suit the
employee most, taking his skills, experience, and aptitude into account. The basic
purpose of such an exercise is to help an employee form a clear view about what he
should do to build his career within the company.

Analyzing career opportunities


Career paths show career progression possibilities clearly. The human resource
professionals indicate the various positions that one could hold over a period of time, if
one is able to perform well. Career paths change over time, of course, in tune with
employee’s needs and organizational requirements.
Organization Development Interventions

Aligning needs and opportunities


After employees have identified their needs and have realized the existence of career
opportunities the remaining problem is alignment.

This process consists of two steps:


 Identify the potential of employees
 Undertake career development programmers with a view to aligning
employee needs and organizational opportunities.

After identifying the potential of employee certain developmental techniques such as


special assignments, planned position rotation, supervisory coaching, job enrichment,
understudy programs can be undertaken to update employee knowledge and skills.

Action plans and periodic review


The matching process would uncover gaps. These need to be bridged through individual
career development efforts and organization supported efforts from time to time. After
initiating these steps, it is necessary to review the whole thing every now and then.

This will help the employee know in which direction he is moving, what changes are
likely to take place, what kind of skills are needed to face new and emerging
organizational challenges to overcome those successfully, effectively & efficiently.

4.2.3 Advantages of Career Planning

The process of planning about the career involves current and potential abilities that
reveal the self-perceptions of an individual. Here are few of the advantages of career
planning:

Provides Career Goals & Paths


Career planning is needed to provide career goals and career paths to an employee. It
provides a clear future direction in terms of career.

Develop Competencies
Career planning motivates and encourages an employee to develop competencies for
higher level jobs. The competencies can be conceptual, interpersonal and technical.

Creativity
Career planning is needed to increase employee creativity. It is needed for innovation
in organization. It can be led to entrepreneurship within the organization.
Organization Development Interventions

Employee Retention
Career planning is needed for retention of qualified employees in the long-term. This
is needed to decrease costs of recruitment, selection and training.

Motivation
Career planning motivates employees for higher performance. Upward movement in
organization is based on the quality and quantity of performance.

Job Satisfaction
Job satisfaction has become a common issue among social workers which
determines mental stability, creative ideas, and recreational facilities. It includes
wealth, salary, necessities of basic living, working conditions and realistic expectation.
It also improves life quality. This is considered the final fact in achieving success.

Promotions
Promotions deals with the essential inducement of all the changes that are related to
extra values. Here one must try to accomplish and even quantify them. It is listed by
sorting the negotiations, threats and even the length of time. It is managed within the
course of actions by the organization.

Job Enrichment
Career planning has an additional responsibility for higher level employees. It is
important when the company has trusted resources and even the employees with various
natural tendencies & every individual is responsible for the outcome of the project.

Self-assessment
Self-assessment involves consideration, reflection, and evaluation of the interests that
are enhanced within the identified skills. It also includes the usage of whole hosted
career responsibilities. It is related to cost tools and instruments that help in motivating
and assessing oneself.

Exploration & Research


Planning involves components such as exploration and research. It tempts to gather
details about the availability of information, collecting and organizing them. It has
defined options and outcome of all the reported source of data. It also analyzes the
gathered collection of data that are modified and set as goals for further moves.
Organization Development Interventions

It has increased level of forecasting as to define the succession planning. If a proper


goal is fixed, then one can identify changes in motivational level so as to achieve the
next target of the career plan.

4.2.4 Limitations of Career Planning

Though there are multiple methods of planning one’s career, it has few disadvantages
of planning in management also. They determine the relevance towards a career. Here
are a few disadvantages of workforce planning.

Lack of objectivity
Career planning has become the opportunity with the impossible small organization. It
helps in developing the defined targets.

It becomes the disadvantage if the goals are improperly set. The decisions are made so
as to check the deep understanding of the plans. It is not suitable for small-scale
industries because of vertical mobility.

Lack of awareness
One should make decisions without fixing a proper goal. It affects communication that
has an impact on the ability to view decisions. It has adverse effects on growth.

It has short supply over the ruined items and more due to the shortage of practices. It
paves way for the rejections and disapproval of the involvements.

Difficulty in Measuring Success


It deals with one success strategy that is self-managed within a certain duration and
even the designed career plan process.

It establishes the large workforce that is handled within strict depth analysis process.
This also routes to different scenarios that lead to unsuccessful exercise.

No Scope for Advancement


When a career path is selected it should not be chosen blindly instead one must analyze
the schedule within the state of long-term gains. Profound goals are enhanced by the
current status which will be validated.

If the career planning is completed and if suppose one is working towards it and if
suddenly there is a drop out in that particular sector, then that pre-planned career
becomes invaluable.
Organization Development Interventions

Time Factor
It has a sustained basis that tends to spend a lot of time and resources. It has beneficial
long terms career plans for a long-term goal that are set. It may not be effective with
career changes. It has advancement in the long-term and is the time-consuming process.
The logic sufferings based on ready to spend a lot of time would run beneficial only in
term of analysis.

A large number of workforces is required to involve in developing it. The quality of the
indicator has been checked so as to ensure whether the designed plans are regulated.
Thus, career plan development enhances a person’s career that in turn is reflected in
proper understandings and communications. Career planning also termed as succession
planning advantages and disadvantages have been mentioned above.

Career path is subjected to the sequence of work experience which an individual can
gain if there is proper implementation of plans. Hence the goals are to be set in a
creative, broadminded manner so as to encourage in achieving the goals.

4.3 Employee Empowerment


Employee empowerment is giving employees a certain degree of autonomy and
responsibility for decision-making regarding their specific organizational tasks. It
allows decisions to be made at the lower levels of an organization where employees
have a unique view of the issues and problems facing the organization at a certain level.

4.3.1 How to Empower Employees


Here’s six steps you can take today to help your employees feel empowered:

1. Offer authority and ownership by handing out responsibility. We have to let an


employee take on a new project and run with it. When we delegate different (even
small) tasks to an employee, it empowers the employee to get the job done, and done
well.

2. Make guidelines and best practices clear. When employees understand the
guidelines, they should work within and which boundaries they can push, they’re able
to do their job more effectively and feel more supported.

3. Encourage communication to increase levels of trust and show that all ideas are
welcome and valued.
Organization Development Interventions

4. Offer individual or team coaching to identify roadblocks, find solutions and then take
action.

5. Allow opportunities for growth. Foster internal development and growth across
departments with cross-department job shadows and transitions.

6. Provide organizational support for employees to create and drive their own
development plans with their managers.

Enabling Involving Encouraging


employees employees employees

Empowerment requires employees to act beyond their basic responsibilities in the


workplace, and in doing so they should feel their extra effort is appreciated. Even
simply thanking them for a job well done can go a great deal in motivating your people.

4.3.2 Advantages to Employee Empowerment


Employee empowerment provides some distinct advantages. Employee empowerment
should lead to increased organizational responsiveness to issues and problems.

Accountability Improves
When you empower an employee to make decisions and to get things done with
reasonable judgment, you are telling him that you trust him, and that you feel he is
intelligent and can handle things.

An employee becomes more accountable, knowing that the boss has confidence in his
ability to perform. That confidence means he will get the job done and that he will do
the job to the best of his ability.

Faster Problem Resolution


Nothing is more frustrating when dealing with business issues than to constantly have
to refer to another person on the chain of command. If a person is given the resources
and authority to get the job done without running around for 10 authorizations, things
get done faster.
Organization Development Interventions

Higher Quality Customer Service


Think about how many times that car salesman has to go to the manager to get approval
for the next line item negotiated. This is time-consuming and customers don't like it.
People like dealing with the person who can get the job done for them. Giving
employees the power to make certain deals, give certain discounts at their discretion or
provide other customer service solutions builds a happier customer base.

Job Satisfaction
Empowered employees often have higher job satisfaction because they know that the
boss values and trusts them. Imagine an employee who helped an unhappy customer
get the resolution that customer had desired, and then even sold them a second product
by thinking outside of the normal company protocol. This employee will feel great
about the accomplishment. Many times, situations like this build employee confidence
helping to mold junior talent into senior management over time.

Improved Processes and Procedures


Empowered employees are allowed to question things and look at every aspect of the
job from their perspective. If an employee isn't empowered, he simply punches in,
forces the round peg in the square hole all day until it's time to punch out. He never
questions the process. An empowered employee sees a better way, makes the
adjustments to change the pegs and makes the entire system better. Empowered
employees know that managers respect new ideas that make things better.

Faster problem solving


First, because empowered employees are so close to issues and problems that require
resolution, response times should decrease. Faced with a problem, people who are close
to it have a natural affinity for it, and a definitive reason to find solutions rapidly – it
aids their work, making their time easier and more productive. Executives are often
detached from the shop floor, and lack the depth of knowledge required in the solution-
finding process.

Increased morale and productivity


People who are given the autonomy to make their own decisions feel trusted and that
their contributions are a direct factor in their company’s success. This is a direct
determinant of employee morale.
Organization Development Interventions

Empowered employees working without continual oversight from a manager or


supervisor tend to feel more respected. Artificial obstacles to progress of tasks are
removed when employees no longer need their supervisor’s approval to move from one
stage to the next. This helps productivity, and profitability per employee improves
accordingly. Additionally, people own the responsibility given to them, and the
manager/employee relationship benefits accordingly.

Greater Involvement Leads to Greater Commitment


With the greater involvement engendered by their increased responsibility, employees
become more involved in organizational strategy. They begin to look at colleagues and
customers differently, and their commitment to the company and its future grows.
Satisfied employees lead to satisfied customers. Such commitment also leads to
decreased staff turnover and reduced costs of hiring and training.

4.3.3 Disadvantages to Employee Empowerment

Employee empowerment is not without some disadvantages. It can lead to decreased


efficiency because decisions may not be uniform and optimized for organizational
goals. It can also create problems with coordination throughout the organization
because decisions are decentralized and not managed at the top. Manager and employee
relationships can become tense as the boundaries of authority can be blurred. Finally,
according to the critical perspective, attempts at employee empowerment can be
counterproductive, actually creating greater controls over employees.

Increased Arrogance
When employees are empowered, their confidence levels tend to increase. This
additional confidence is a good thing because it creates happier workers and
productivity levels soar. However, in some situations, confidence levels can be taken
too far and end up crossing the line into arrogance. Arrogant employees are difficult to
deal with, don't take direction well and can become insubordinate. Working in this type
of work environment takes its toll on employees and they once again become
dissatisfied with their job and productivity levels decrease.

Confidentiality and Security Risks


One way that employers empower their employees is by sharing important information
with them. This free exchange of ideas and information makes the employees feel
appreciated and important, which ends up empowering them.
Organization Development Interventions

However, when information is freely exchanged with people throughout the company,
there is an increased risk of confidential and security-related data being leaked to parties
that shouldn't have access to that type of information. For competitive businesses, these
potential leaks could prove devastating to their operations.

Lack of Experience
A benefit of having empowered employees is that they take on more responsibility
within the company. As they take on more responsibility, they begin working
independently with little to no supervision. Businesses like this because it saves them
money by decreasing their managerial workforce. However, unlike managers and
supervisors who are educated and trained in making sound decisions, empowered
employees often lack this type of experience. This lack of experience lends to an
increase in mistakes and unnecessary company risks.

Interpersonal Relations Suffer


Some employees confuse empowerment and being able to make their own decisions
with having the authority to do whatever they want. As employees are allowed to take
on additional responsibilities, some may end up taking things too far.

If this happens, interpersonal relations within the company will suffer and incidents
involving conflict will rise. Over time, tensions increase and a hostile work
environment may surface. This type of situation is bad for both the business and the
workforce.

Lack of experience increases risk


While the handing down of responsibility promises to improve speed, agility and
productivity, a concern is that decisions are now being made by less experienced and
less expert personnel. This can increase the number of mistakes made and put reputation
at risk.

The risk of work practices falling into chaos must be tackled by proper training, and by
ensuring that supervisors maintain organizational standards. These standards must
incorporate an organization’s values and beliefs: care must be taken that employees do
not work in accordance with individual values that may be divergent to the corporate
mission and vision.
Organization Development Interventions

4.4 Self-Managed Teams


A self-organized, semiautonomous small group of employees whose members
determine, plan, and manage their day-to-day activities and duties under reduced or no
supervision. Also called self-directed team or self-managed natural work team.

A self-managed team carries out supporting tasks, such as planning and scheduling the
workflow and managing annual leave and absence, in addition to technical tasks.
Management and technical responsibilities are typically rotated among the team
members.
4.4.1 Advantages of Self-Managed Teams
Self-managed teams have greater ownership of the tasks they perform and the end
product or service they deliver. Self-managed teams tend to be less costly and more
productive than employees working within a traditional hierarchical structure because
the team performs both technical and management tasks. Team members may also fill
in for each other to cover holidays and absences. Decisions made by self-managed
teams are more effective because they're made by the people who know most about the
job.
Some advantages of adopting the self-directed work team model are:
 Greater employee responsibility and accountability
 Greater sense of accomplishment and satisfaction among employees
 Greater freedom for team innovation
 More effective use of individual team members’ skills
 Greater “ownership” of project results by team members who have a stake in
the project’s outcome
 Greater empowerment, which leads to higher employee morale.

4.4.2 Disadvantages of Self-Managed Teams


Although a cohesive self-managed team may create a sense of trust and respect between
team members, overly cohesive teams can lead to "groupthink": Team members are
more likely to conform to team norms than raise issues that may upset other team
members. This may lead to reduced effort or stifled innovation. Teams may struggle to
make the transition from supervisor-led management to self-management, either due to
lack of interpersonal skills or poor implementation of the self-managed team concept
within the organization.
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While there are definitely many advantages to self-directed work teams, there are some
also some drawbacks; especially in their initial phases of development.
 More meetings
 Longer decision-making process
 A dip in productivity before it takes off in a positive direction
 Chaos – infrastructure and support are needed by teams to accomplish their
work.
4.4.3 Leading a Self-Managed Team
Although self-managed teams are autonomous in terms of how they manage and carry
out their work, they still require guidance from leaders within the organizational
hierarchy. External leaders provide the link between the wider organization and the
self-managed team, empowering the team. and advocating on its behalf. External
leaders may struggle to find the appropriate balance in their leadership style: Their own
managers may expect them to be more hands-on, while the team may resist perceived
interference.
Communicate
By communicating clearly and seeking feedback, you get buy-in from the team. Use
tools that foster collaboration and communication.

Metrics
Allow the team to define their metrics of success. If they do so, then they’re going to
be more accountable for meeting their goals. Software with real-time dashboards can
help track metrics.

Present Outcomes
By having the team present outcomes regularly, you promote feedback loops with other
teams in the organization and enforce accountability.

Leverage Success
Leverage their success for the good of the business.

Self-Managing Teams
 have authority on the execution of the tasks given to them
 monitor their progress and can adapt the process as they deem fit
 are seen in newer companies, service providers, construction companies
 are one step closer to Agile working environments, but not quite there yet.
Organization Development Interventions

Self-Designing Teams
 have full authority on executing their task
 are responsible for monitoring their performance and progress and adjust their
processes
 have the power to decide on the design of their team, working norms, resources
and tools needed to complete their tasks
 management sets the direction and get out of their way
 examples include startups, management task forces.

Self-Governing Teams
 full responsibility on their direction, design, context, progress, process and
execution
 smaller startups, legislative bodies, corporate boards of directors, advisory
councils of community service agencies, worker cooperatives, professional
partnerships.

Most Agile environments oscillate between self-managing teams and self-designing


teams, with an ideal towards self-designing teams. When the teams in this category are
well-designed and have good leaders, they can become high-performing teams, self-
correcting and capitalizing on their collective intelligence, building their people. The
main condition is that their level of authority is clearly agreed on with the management
and understood by the entire team.

4.5 Stress Management


In today’s world, stress has become a worldwide phenomenon, which occurs in various
forms in every workplace. In today’s work life, employees are generally working for
longer hours, as the rising levels of responsibilities require them to exert themselves
even more strenuously to meet rising expectations about work performance.

Stress management is a wide spectrum of techniques aimed at controlling a person's


level of stress, especially chronic stress, usually for the purpose of improving everyday
functioning. Stress is mental tension caused by demanding, taxing or burdensome
circumstances. Stress doesn't just affect our mental state and mood, it affects our
physical health as well. When we are much stressed, a hormone called cortisol is
released into our bloodstream, suppressing the functioning of our immune, digestive
and reproductive systems. That is why it is so important to practice stress management
Organization Development Interventions

in order to keep our minds and bodies healthy. Stress management consists of making
changes to our life if we really, are in a constant stressful situation, preventing stress by
practicing self-care and relaxation and managing the response to stressful situations
when they do occur.

The problem is when we deal with constant stress and worry, or when we don't know
how to properly manage a stressful situation. That's why stress management is
tremendously important for our health, quality of life and relationships.

4.5.1 Advantages of Stress Management


Here are some awesome benefits of implementing Stress Management in the
Workplace.

Enable to Motivate Employees


Stress affects the morale of employees and hence their performance in the workplace.
It not only affects the individual but the business also. Stress demotivates the employees
which causes the increase in absenteeism and employee turnover. By using good stress
management skills, we can boost the employee morale which motivates and keeps them
focused on their jobs and performance.

Improve Productivity in the Stressful Situation


When the employee morale is high and remains intact with the workplace relationship.
It improves the employee productivity. By using good stress management skills, there
will be very less chance of customer complaints or poor decision making even in the
most stressful situations.

Lead People in Tough Times


When employees feel stress, they look for guidance and direction. Some of the
employees may seek help from us by discussing their issues one to one. By using good
stress management skills and identifying the stressful issues correctly, we will be able
to lead in tough times.

Reduce Chances of Workplace Conflicts


Conflict at the workplace is very common and occurs due to differences in opinions,
personalities and increased level of stress. It breaks the relationships and weakens the
overall culture. However, effective stress management skills prevent such distractions,
builds teamwork and makes everyone’s life easier.
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Decreases Chances of Unethical Issues


Unethical issues often rear its ugly head during the time of high stress. There have been
times when people have used this practice for shortcut purposes. During that time
people start blame game and point fingers to others. However, good stress management
skills provide ethics and stress seminars to reduce the chances of unethical practices.

Improves Communication Process


When stress levels are high, there is a negative effect on communication. Employees
won’t discuss about jobs between individuals. Instead, they look for managers to
discuss the company issues or problems. However, an effective stress management skill
helps to identify a problem and resolve it, which strengthens the communication
process.

Enables to Develop Team


When employees feel stress, they couldn’t concentrate on their work. Also, there is no
unity in the team. They feel irritated when some of the team members comments on
them. A situation arises where employee discusses his issues with us and seek help to
resolve it. By handling stress as a tool and using effective stress management resources,
we can build and unite the team.

Provide Space to Employees


When employees are engaged in work and continuously busy, they don’t get time to
take rest and relax which in turn create stress. Use effective stress management skills
and provide space to the employees so they can take a rest or a break. Allowing
employees to take a breather at work helps them to regain their energy and reduce the
effects of stress.

Helps in the Performance Appraisal of Employees


Every employee has a different threshold of stress. Stress factor can be directly related
to job performance. It also helps to judge how well employees work within the team. It
is measurable also. Effective stress management skills help us to evaluate and do the
performance appraisal of them.

4.5.2 Disadvantages of Stress Management


Stress can be a motivator as well. If we’re stressed out because we have a big
assignment due, this may motivate us to work on it and complete it. The stress can help
us to put in our very best effort. If we’re afraid of losing our job, stress may encourage
Organization Development Interventions

us to raise our own standards and make improvements we most likely wouldn’t have
made without the threat of unemployment.
Stress is a disadvantage factor because it can potentially raise our heart rate and weaken
our immune system. Also, it can be a factor in poor decision – making because under
stress we may not think logically or consider the consequences of the choices we make.
While we all experience stress frequently in our daily lives, not everyone handles it in
positive ways. The key for us all is to learn what strategies and behaviors help us to
cope with stress in a positive manner.

So, stress is not for remove, but for manage to shorten its boundary & effects.

4.5.3 Managing Stress

According to Robbins (2004), stress can be managed in two approaches.


 The individual and
 The organizational approaches

The Individual Approaches are as follows.

Exercise
He said the individual approach includes exercise. That is the employees can manage
stress by walking, riding bicycles, attending aerobic classes, practicing yoga, jogging,
swimming, playing tennis and swatting squash balls. Most runners and fitness addicts
admit that, it is very hard to focus on job stress when one is trying to complete vigorous
workout.

Relaxation
Again, he said individuals can manage stress through relaxation. This is because, when
employees relax the response for stress will be reserved in the human mind-body
system. Individuals can reduce tension through relaxation techniques such as
meditation, hypnosis and biofeedback. The objective is to reach a state of deep
relaxation in which the employee feels physically relaxed, somewhat detached from the
immediate environment and detached from body sensations. Relaxation exercises
reduce employee’s heart rates, blood pressure and other physiological indicators of
stress.
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The Organizational Approaches are as follows.

Training Programs
He also went further to explain the organization approach to stress management which
include training programs for employees, ensuring effective upward and downward
communication in the organization, improvement in personnel policies such as (good
welfare packages, incentives, pension schemes), good job design, improvement in the
physical work environment, and also management should provide technical support to
employees. Also, Claude and Cole (1992) suggested that in order to manage work
stress effectively. Management should consider doing the followings:

 Encourage employee’s participation in decisions which affect them.


 Set clear goals and targets and provide adequate feedback on performance.
 Provide training as an on-going updating process.
 Provide consistent rewards for effective output.
 Provide opportunities for employees to try new duties and different tasks.
 Design job to have even work pressures.
 Encourage group working procedures and friendly work relations.
 Provide secure and fair personnel practices.
 Ensure work environment is free of hazards.

This implies that if these approaches and measures outlined above are carefully
implemented it could go a long way to minimize the level of stress on employees.

Stress Management Interventions

Primary Individual Proactive actions taken by an individual to increase his/her


ability to cope with the perceived stressors and reduce risk
factors.

Secondary Individual Changing the ways in which individuals respond to the


perceived stressors.

Tertiary Individual Seeking professional help to recover from detrimental effects of


stress.
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4.6 Quality of Work Life (QWL)


Quality of work life is defined as the overall quality of an individual’s working life.
QWL is sometimes considered as a sub-concept of the broad concept of quality of life,
which refers to the overall quality of an individual’s life.

Various authors and researchers have proposed models of quality of working life, (also
referred to as quality of work life) which include a wide range of factors. Selected
models are reviewed below.

Hackman and Oldham drew attention to what they described as psychological growth
needs as relevant to the consideration of Quality of working life. Several such needs
were identified:

 Skill variety
 Task Identity
 Task significance
 Autonomy
 Feedback.

Broadly, the concept of QWL involves four major aspects:


 safe work environment
 occupational health care
 suitable working time
 appropriate salary.

The safe work environment provides the basis for a person to be happy at work. The
work should not pose a health hazard for the person. The employer and employees are
aware of their risks and rights, and could achieve a lot for their mutual benefit. The
concept of QWL is based on the assumption that a job is more than just a job; it is the
center of a person’s life. In recent years there has been increasing concern for QWL
due to the following factors:

increase in education level and consequently job aspirations of employees


association of workers
significance of human resource management
widespread industrial unrest
growing of knowledge in human behavior etc.
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4.6.1 Ways to achieve quality of work life

Reward and Recognition


There should be a reward and recognition system that includes both material as well as
psychological rewards. Reward begets commitment and the bottom-line for any
employee to work is to earn proper reward and recognition. This is the main reason why
everyone works and once this is given to an employee, he will be motivated to invest
more time and energy in his job.

Growth Opportunities
Another powerful measure which can cause commitment among employees is growth
opportunities provided by the company. Growth and development are an inborn need
of human beings and everyone desires to achieve growth. There are many ways which
a company can adopt to help its employees grow.

Providing opportunities for greater responsibility, promotion, value added jobs,


meaningful and worthwhile job, and learning culture enable employees to grow and
develop. Once they recognize that growth of the company will result in their growth,
they will put in committed efforts.

Respect and Boosting Self Esteem


Whatever the status, people equally need respect. A good manager respects people at
all levels. In turn, they will always try to prove him right by doing whatever is
necessary. In 1989, a pacemaker manufacturing company had initiated a major
organizational improvement program involving quality teams.

The workers felt great and respected. As a result, they committed with their hearts and
souls and made the project a total success. The company achieved enormous results.
Thus, when people are respected, they do their best to attain success for any project or
company plan.

Vision and Get Supported


Commitment cannot be achieved if people do not know “Commitment towards what”.
Organizations and its leaders must provide a compelling vision of the future to the
employees. People will act only if they can visualize what they are supposed to achieve.

Vision is a group effort and it must be communicated, shared and supported by


everyone in the company.
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Mutual Commitment
In order to get support from employees, employers should initiate it in terms of
leadership by example or self-commitment. They should provide proper tools and
equipment; adequate training and other inputs needed by the people for successfully
performing their jobs.

Good Working Environment


Today, most of the working people spend their major portion of time at work. One
major factor which employees would highly appreciate is the congenial working
environment, where they are happy to work with others. Teamwork, cooperation,
friendship with colleagues and bosses and mutual respect are the signs of a good
working environment which attract employees and retain them to stay longer with a
company.

In contrast, too much politicking, back biting and other negative practices discourage
people to work with a company unless they have no other place to work in. As such,
good working environment binds employees amongst themselves and with the
organization.

Empowerment
Empowerment means giving people the power, authority, freedom and responsibility
to carry out their jobs. This give them a sense of control over their work and makes
them feel worthy of doing things on their own.

Empowerment leads to greater job satisfaction and sense of control, which can result in
better commitment and loyalty. Empowerment is an important motivational tool that
makes employees independent by giving them the means, ability and authority to do
the work.

4.6.2 Advantages of Quality of Work Life

 Motivate the employees to work more and more.


 The autonomy makes the employees fell that they are also important for the
organization and that helps them to perform more for more productivity.
 QWL provide them rewards and recognition which increase satisfaction
towards their work
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 Employees and subordinates can set their organizational objects together and
work together to fulfill them.
 Flexibility of time really helps the employees to balance both their work and
non-work life.

4.6.3 Disadvantages of Quality of Work Life

 Taking decision by everyone’s mutual decision become a time consume matter.


 Sometimes the employees misuse the flexible work timing and slow down the
productivity.
 Training and hiring the right person become a costly factor for the organization
 It’s become tough to make all the employees agree about a single matter or
objective.

4.7 Work Redesign or Job Redesign


Job redesign is an effort where job responsibilities and tasks are reviewed, and possibly
re-allocated among staff, to improve output. Redesigning jobs can lead to
improvements in both productivity and in job satisfaction.

In a good job redesign effort, employee's personal goals and their skills will be taken
into account when determining their changed position. Better use of abilities and
movement toward the personal goals will make them more satisfied with position, and
they will also be able to accomplish more tasks during the work day comparatively as
they could before. And, here is the productivity of Job Redesigning.

4.7.1 Job Redesign Process

Revising the Job Content


Job redesigning process involves recollecting and revising job-related information to
determine the inconsistency between person and the job.

Analyzing Job-related Information


Once the job analyst is through with recollecting and revising the job content, analyzing
the discrepancies is the next step. It is done to determine the hindrances in performing
job-related tasks and duties and investigate why an employee is not able to deliver the
expected output.
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Altering the Job Elements


The next step is to amend the job elements. It may include cut back on extra
responsibilities or addition of more functions and a higher degree of accountability. The
basic aim of altering the job content is to design a job in such a manner that encourages
employees to work harder and perform better.

Reformation of Job Description and Specification


After altering the job elements, a job analyst needs to reform the job description and
specification in order to make sure that the worker placed at a particular place is able
to deliver what is expected of him.

Reshuffling the Job-related Tasks and Duties


Next is to reallocation of new or altered tasks and functions to employees. It may be
done by rotating, enriching, enlarging and engineering the job. The idea is to motivate
the performers while increasing their satisfaction level.

4.7.2 Advantages of Job Redesigning

Enhances the Quality of Work-Life


Job redesigning motivates the employees and enhances the quality of their work life. It
increases their on-the-job productivity and encourages them to perform better.

Increases Organization’s and Employees’ Productivity


Altering their job functions and duties makes employees much comfortable and adds to
their satisfaction level. The unambiguous job responsibilities and tasks motivate them
to work harder and give their best output. Not only this, it also results in increased
productivity of an organization.

Brings the Sense of Belongingness in Employees


Redesigning job and allowing employees to do what they are good at creates a sense of
belongingness in them towards the organization. It is an effective strategy to retain the
talent in the organization and encouraging them to carry out their responsibilities in a
better fashion.

Creates a Right Person-Job Fit


Job Redesigning plays an important role in creating a right person-job fit while
harnessing the full potential of employees. It helps organization as well as employees
in achieving their targets or goals.
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Therefore, the purpose of job redesigning is to identify the task significance and skill
variety available in the organization and reallocating the job-related tasks and
responsibilities according to the specific skills possessed by an employee.

Job redesign can take many forms. The following are some of the more common
approaches:

 Job enlargement – getting a job holder to do more (typically of a similar level


of work)
 Job enhancement – getting a job holder to do more value-added work (typically
by transferring work and responsibilities from the next higher level)
 Job sharing – splitting the job such that the work is completed by 2 or more
people.

4.7.3 Disadvantages of Job Redesigning

Increase Workload
A primary disadvantage of job enrichment is an increase in an employee's workload.
While some employees may be able to immediately re-prioritize their time and tasks,
some may initially experience difficulties getting adjusted with their new
responsibilities. The increase in work can cause employees to get frustrated, burned out
and lower their overall productivity.

Conflict with Non-Participants


Every employee at your business may not be eligible to participate in job enrichment.
Those individuals who want more responsibility, but haven't shown that they can handle
it, may become disgruntled, bitter toward management and the employees who are a
part of the job enrichment process.

Poor Performance
Some employees excel in job enrichment, while others perform poorly, due to lack of
training, lack of interest or lack of clarity about their new tasks. Poor performance can
cause employees to feel a sense of incompetence or as if they've you beaten down. Poor
performance can also cause employees to get stripped of their new responsibilities,
which can cause embarrassment
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4.8 Training
Training is a program that helps employees learn specific knowledge or skills to
improve performance in their current roles. An often-referred source of definitions
has been the Manpower Services Commission’s (1981) Glossary of training terms
defines training as- A planned process to modify attitude, knowledge or skill behavior
through learning experience to achieve effective performance in an activity or range
of activities. Its purpose in the work situation, is to develop the abilities of the
individual and to satisfy the current and future needs of the organization.

Oribabor submitted that training and development aim at developing competences


such as technical, human, conceptual and managerial for the furtherance of individual
and organization growth.

Isyaku postulated that the process of training and development is a continuous one.
According to Cole in his book Personnel and Human Resource Management,
training is a learning activity directed towards the acquisition of specific knowledge
and skills for the purpose of an occupation or task. The focus of training is the job or
task for example, the need to have efficiency and safety in the operation of particular
machines or equipment, or the need for an effective sales force to mention but a few.

Training is the planned and systematic modification of behavior through learning


events, activities and programs which results in the participants achieving the levels
of knowledge, skills, competencies and abilities to carry out their work effectively.

Training presents a prime opportunity to expand the knowledge base of all employees,
but many employers in the current climate find development opportunities expensive.
Employees attending training sessions also miss out on work time which may delay the
completion of projects. However, despite these potential drawbacks, training provides
both the individual and organizations as a whole with benefits that make the cost and
time a worthwhile investment. The return on investment from training of employees is
really a no brainer.
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4.8.1 The training and Development Process

Hire

Yes Can the No


workers meet
Assign to job the standards?
Train

Change in
Give worker technology
needed time and
material
Yes Can the No
workers meet
Reinforce the good new Train in new
workers standards? technology.

Is the worker
Yes promotable? No
Take no action but
Execute for next
retest for
position.
promotability for
at regular intervals.
Yes
Are the qualified
workers meeting
Yes No
Standards?
Devote your Is the
energies to other deficiency
performance issues. important?
Make standards No
worthwhile.

Yes
Trace for the cause,
implement a non-
training solution.

Develop all the Will the


Yes organization No Maintain the
employees for the
mission or status quo.
new era.
structure change?
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There are several training methods are available in the organization for the employees
and managers. The use of a particular method depends on which method accomplishes
the training needs and objectives.
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Some methods of Training are as follows:

Sensitivity Training
An intervention designed to help individuals understand how their behavior affects
others. Outside trainer who intervenes only to move the group forward. Training can
help employees to understand each other, recognize their own feelings and improve
communication.

Skills Training
Increasing the job knowledge, skills, and abilities that are necessary to do a job
effectively. Informal classroom settings, on the job training etc. are needed for this
training.

Management Development Training


A host of techniques for enhancing managers’ skills in an organization. Verbal
information, intellectual skills, attitudes development are developed by this technique
for the managers.

4.8.2 Benefits of Training for the Employees in the Workplaces

Vital Task
Training isn’t just important to any company, it is vital. Although there are many
categories of training such as management training, sensitivity training, and employees
with Project Management skills are an important asset to any organization.

Improved Employee Performance


The employee who receives the necessary training is more able to perform their job.
The training will give the employee a greater understanding of their responsibilities
within their role, and in turn build their confidence. This confidence will enhance their
overall performance and this can only benefit the company.

Besides, employees who are competent and on top of changing industry standards help
the company to hold a position as a leader and strong competitor within the industry.

Productivity Increases
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With trained employees, the efficiency is increased which in turn increases the
productivity. Quantity, as well as quality performance, is achieved by the employees as
they are well trained.

Better Economic Usage


Trained staff would have the knowledge to make the best economic use of materials
and equipment. There will be less wastage, apart from accidents, damaged equipment’s
in the organization would be minimal in the case of trained employees.

Uniform Procedures
The best methods required for the specific work are standardized and adopted by all the
staff as an effect of training. With the assistance of standardization, there is an improved
level of performance.

Systematic Usage of Skills


The main benefit of a training program in an organization is that it helps to lessen the
learning time so that a level of performance is reached. The employees can learn from
training methods instead of following others or by trial and error method.

Improved Employee Satisfaction and Morale


The investment in training that a company makes, shows employees that they are
valued. The training creates a supportive workplace. Employees may gain access to
training, they would have known about or sought out themselves. Employees who feel
appreciated and challenged through training opportunities may feel more satisfaction
toward their jobs.

Addressing Weaknesses
Most employees will have some weaknesses in their workplace skills. A training
program allows the employees to strengthen those skills that each employee needs to
improve. This helps reduce any weak links within the company who rely heavily on
others to complete basic work tasks.

Providing the necessary training creates an overall knowledgeable staff with employees
who can take over for one another as needed, work on teams or work independently
without constant help and supervision from others.

Consistency
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A robust training program ensures that employees have a consistent experience and
background knowledge. The consistency is particularly relevant for the company’s
basic policies and procedures. All employees need to be aware of the expectations and
procedures within the company. Increased efficiencies in processes results in financial
gain for the company.

Increased Productivity and Adherence to Quality Standards


Productivity usually increases when a company implements training courses. Increased
efficiency in processes will ensure project success which in turn will reduce the
company turnover and increase potential market share.

Reduced Employee Turnover


Employees are more likely to feel valued if they are invested in and therefore, less likely
to change employers. Training is seen as an additional company benefit. Recruitment
costs therefore go down due to staff retention.

4.8.3 Disadvantages of Training for the Individuals

There are some issues when the most important aspects open greater disadvantages
option for us. Training is one of those aspects.

Waste of Time and Money


There is surely a waste of valuable resources, as the organization needs to spend money,
time, and hire other people for training. They also need to pay wages for both the trainer
as well as the employees.

Increased Stress
In order to keep the staffs up to date with the latest trends and knowledgeable in their
specific area, training staffs for a greater number of hours can make them stressed. As
they are stressed, their job levels may go down too.

Too Much of Theory


Training programs for certain departments are too much of theory than application.
These kinds of lectures make it tough for employees to learn the subject. Thus,
theoretical lectures make the whole training program boring when it’s for the prolonged
period.

Loss of Interest
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At times of training sessions which lead for long hours, employees are bored and aren’t
interested in their session. Data and information are thus not retained for employees
who do not listen. When training programs are conducted continuously with the same
data or theory, again and again, the employees lose interest.

Leave for the New Job


When an employee is trained and updated with all the latest knowledge and skills. They
are prepared and ready to jump to another organization which offers good perks and
salary.

Time Requirements
The other main important disadvantages of employee training are that there may not be
enough time for staff training with the daily hectic schedule. There are many
organizations who dedicate very less time, which may not be helpful in making the
employee productive or knowledgeable. With very less time, the trainer usually rushed
through the main parts of the job which is to be understood by the employees.

Control of Training
When your responsibility of training for new employees is delegated to some other
trainer or employee, then it is mandatory to think about what the employees are
learning. The trainer may not be a skilled and talented one, hence the employees may
pick some bad habits and end up with quality less training. This would spoil the
complete training. Hence having a good control over training is necessary.

4.9 Management by Objectives (MBO)

Management by Objectives (MBO) is based on the assumption that involvement leads


to commitment and if an employee participates in goal setting as well as setting
standards for measurement of performance towards that goal, then the employee will
be motivated to perform better and in a manner that directly contributes to the
achievement of organizational objectives. Management by objectives (MBO) was first
popularized by Peter Drucker in 1954 in his book “The Practice of Management”.

According to George Odiome, MBO is "a process whereby superior and subordinate
managers of an Organization jointly define its common goals, define each individual's
Organization Development Interventions

major areas of responsibility in terms of results expected of him and use these measures
as guides for operating the unit and assessing the contribution of each of its members."

According to John Humble, MBO is "a dynamic system which seeks to integrate the
company's needs to clarify and achieve its profits and growth goals with the manager's
need to contribute and develop himself. It is a demanding and rewarding style of
managing a business."

4.9.1 Features of Management by Objectives (MBO)

Superior-subordinate participation: MBO requires the superior and the subordinate


to recognize that the development of objectives is a joint project/activity. They must be
jointly agreeing and write out their duties and areas of responsibility in their respective
jobs.

Joint goal-setting: MBO emphasizes joint goal-setting that are tangible, verifiable and
measurable. The subordinate in consultation with his superior sets his own short-term
goals. However, it is examined both by the superior and the subordinate that goals are
realistic and attainable.

Joint decision on methodology: MBO focuses special attention on what must be


accomplished (goals) rather than how it is to be accomplished (methods). The superior
and the subordinate mutually devise methodology to be followed in the attainment of
objectives. They also mutually set standards and establish norms for evaluating
performance.

Makes way to attain maximum result: MBO is a systematic and rational technique
that allows management to attain maximum results from available resources by
focusing on attainable goals. It permits lot of freedom to subordinate to make creative
decisions on his own and ensures good performance from them.

Support from superior: When the subordinate makes efforts to achieve his goals,
superior's helping hand is always available. The superior acts as a coach and provides
his valuable advice and guidance to the subordinate. This is how MBO facilitates
effective communication between superior and subordinates for achieving the
objectives/targets set.

4.9.2 Positive impact of Management by Objectives


Organization Development Interventions

Development of the result-oriented philosophy


The Management by Objectives (MBO) process is all about the delivery of results
(outcome) as opposed to management by crisis (MBC)). While managers are expected
to develop goals and objectives; action plans and provide their people with the resources
they need, employees are expected to do their part by making positive contributions
towards the organizational goals.

Formulation of clearer goals


Both the manager and the subordinates know what is expected of them and hence there
is no role ambiguity or confusion. The goals that are set in the MBO process are done
in a way that makes them measurable and verifiable, which making sure that each and
every one can be attained.

The idea is that problem areas are highlighted, with goals put in place to iron out those
issues, thus making everyone more effective in the job that they do whether formulating
the goal is the prerequisite for implementing the goal & achieve the success milestone
in the long run.

Facilitates objective appraisal


The evaluation process is designed to be fair from the start, with all of the goals are put
together in by the entire team. Giving individuals the freedom to exercise their own
creativity makes for a happier set of employees, all of whom become fully committed
to reaching the organizational goals.

Raises employee morale


Too many employees feel as though they are left out of the decision process, but this is
not the case with Management by Objectives. Since they play a part in setting goals,
the bigger picture becomes far clearer to everyone. This in turn leads to a companywide
boost in morale.

Facilitates effective planning


The Management by Objectives program makes organizational planning much more
effective. Everyone is forced to look at results as opposed to winging it when crises
arise. When effective planning is put in place, fewer of those problems tend to arise,
allowing mangers to focus on what is important.

Clearly Defined Responsibility & Duties


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The managers are required to establish measurable targets and standards of performance
and priorities for these targets. In addition, the responsibilities and authority of the
personnel is clearly established.

Acts as Motivational Force

Since everyone is on the same page when it comes to reaching the goals of the
organization, there is a higher level of imagination and creativity that comes with that.
With everyone working together for a common goal, there is a much higher level of
motivation to reach them.

Facilitates effective control


One of the main features of MBO is the continual monitoring of progress. This allows
everyone to measure their performance against the standards that have been put in
place. It is those clear standards that allow everyone to work towards a very identifiable
set of goals, all allowing for better control.

Facilitates personal leadership


MBO helps everyone within the organization, but it gives mangers in particular the
opportunity to display their leadership skills. Keeping the entire group focused will
paint a manager in a very positive light and make them more likely to advance within
the company.

4.9.3 Drawbacks of MBO Program

Time-consuming
Management by Objectives is incredibly effective, but it can take up an inordinate
amount of time. The process of setting objectives is not something that tends to happen
quickly. Regular meetings are required in order to assess just how well the system is
working, all of which chew up even more time.

Reward-Punishment Approach
Management by Objectives can create a situation where a great deal of pressure is put
on employees. Since the process means constantly reaching goals, employees that fall
behind the timeline are subject to penalty, while those who do well are rewarded.

This reward-punishment method can create a high level of stress on certain members
of the team.
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Creates organizational problems


Too many organizations fall into the trap of believing that Management by Objectives
is the cure for all that ails. They fail to see that there are a definite set of problems that
can come with it. One of the most common is that employees will try to keep targets as
simple as possible, whereas upper management will shoot for the stars. This wide gap
in expectations can make it difficult to find a common ground in the middle. The
program can also instill fear in employees as it is so closely tied to performance.

Management by Objectives develops conflicting objectives


The goals and objectives of each individual within the organization may not mesh with
that of other employees, which is particularly true when there are multiple departments.
Each department will have their own ideas of success, which they may feel is different
from the rest, all of which creates conflict.

Problem of co-ordination
A number of problems can pop up when it comes time to coordinate the company
objectives across multiple departments. Since each department has their own goal ideas,
they may set unrealistic goals in order to undermine others.

Management by Objectives lacks durability


When MBO is first introduced, it tends to generate a lot of excitement. That can fizzle
out over time as the method starts to become tired. It’s such a simple process, but also
one that doesn’t really leave space for new opportunities.

Lack of appreciation
While the purpose of Management by Objectives is to involve everyone in the goal
setting of the organization, it can still fail if the goals are not properly passed down the
chain.

It may be that executives fail to fill in all the details of the company objectives to
management. It can also hit a snag if management do not delegate properly or motivate
accordingly.

Lack of Adequate Skills and Training


Most of the managers lack adequate skills, information and training needed in social
interaction that is needed within the MBO. Several managers tend to sit down with the
Organization Development Interventions

subordinate, dictate the goals and targets with no input allowable from the subordinates
then demand that the goals be achieved in a very such time. Whether or not the goals
are realistic or not doesn’t enter the image. During this kind of environment, 2 method
communications isn’t there and objectives are obligatory on the subordinates. This
destroys their morale, initiative and performance.

Lack of Support of high Management


In traditional organizations, the authority is unconditional within the high management
and it ensues high to bottom. In Management by Objectives, subordinates are given an
equal opportunity of participation, which is resented by the highest management. this
method cannot succeed while not the total support of high management.

Frustration
Sometimes MBO creates frustration among managers, because it tends to arouse high
expectation for rapid change, particularly among the young and junior managers.

4.9.4 Collaborative Management by Objectives (CMBO)


Collaborative management by Objectives can be defined as a collection of various
management techniques that enlighten a sense of unity and teamwork among managers,
supervisors, and the employees within a business organization. It can be broadly seen
as the act of working together as a team to accomplish a common goal within a given
timeframe.
For overcoming the drawbacks of MBO, French and Bell suggest a modified approach
what they call Collaborative Management by Objectives which includes the following
 A collaborative diagnosis of organizational problems.
 Allow managers to combine their strengths with the strengths of their team.
 Make it possible to collectively overcome any weaknesses found among the
team members.
 A continuous helping relationship sustain within teams and between supervisors
and subordinates.
 Attention to employees personal and career goal.

4.9.5 Positive impact of Collaborative Management by Objectives

Pooling of Talent and Strengths


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When members of a team collaborate, they are able to utilize the knowledge, experience
and skills of everyone involved. For instance, one member may struggle with
presentation skills, but might know all about the technical aspects involved. Effective
collaboration will allow all the members to share their talent and find the most optimal
solution to every problem.

Development of Employee Skills


Collaboration is mutually beneficial for the employees as well as the organization
because when they work together, interact and share ideas, they see and understand how
others work, think, negotiate and operate. This gives all the employees a chance to pick
up skills from their colleagues or team mates and build upon their strengths. These
newly-learned skills can then be practiced in their own field to look at things with a
new perspective and make improvements and enhancements.

Speed up Solutions
Collaboration speeds things up. It fast-tracks progress. A problem that may take months
to get resolved when handled by a single individual, but may take just a few hours to
resolve when several other members employ their unique standpoints and expertise to
get things done. These viewpoints will open up several doors to multiple ideas and
solutions that a single individual may not be able to come up with.

Enhance Employee Retention


Job Collaboration brings meaning adds value to the way team members perceive their
job. Because of this, they feel good about what they do. The sense of team spirit is felt
most strongly when victories can be shared. Employees are more likely to continue
working for a business longer when they have strong ties with the people they work
with and feel that they’re a part of something important.

Provision of uninterrupted information feedback


Superiors and subordinates have regular information available to them as to how well
subordinate's goal performance is progressing. Over and above, regular performance
appraisal sessions, counselling and encouragement to subordinates should be given.
Superiors who compliment and encourage subordinates with pay rise and promotions
provide enough motivation for peak performance.

Organizational commitment
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CMBO is based on active support, involvement and commitment of managers. CMBO


presents a challenging task to managers. They must shift their capabilities from
planning for work to planning for accomplishment of specific goals.

Support from all


A continuous helping relationship sustain within teams and between supervisors and
subordinates. They help each other to accomplish the tasks.

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