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Organization development (OD) is an effort that focuses on improving an organization’s capability through the alignment of strategy, structure, people, rewards, metrics, and management processes. It is a science-backed, interdisciplinary field rooted in psychology, culture, innovation, social sciences, adult education, human resource management, change management, organization behavior, and research analysis and design, among others.

Organization development involves an ongoing, systematic, long-range process of driving organizational effectiveness, solving problems, and improving organizational performance. It is also one of the capabilities identified in the Talent Development Capability Model.

GPI OD Strategy: Five Phases

Professionals should integrate OD skills with the growing number of L&D, performance improvement, and talent management solutions focused upon increasing organizational effectiveness. The process used by OD practitioners to design and implement organizational development strategies is structured in five phases:

  • ⦿ Entry represents the initial contact between consultant and client in which they present, explore, and identify the problem, opportunities, or situation. The output of this phase is an engagement contract or project plan that establishes mutual expectations and preliminary agreements about project scope (such as time, money, and resources).
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  • ⦿ Diagnosis (assessment) represents the fact-finding phase. It is a collaborative data gathering process between organizational stakeholders and the consultant in which relevant information about the presenting problem is gathered, analysed, and reviewed.
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  • ⦿ Feedback represents the return of analysed information to the client or client system; exploration of the information for understanding, clarity, and accuracy; review of preliminary agreements about scope and resource requirements; and the beginning of ownership of data by the client. The output of this phase is typically an action plan that outlines the change solutions to be developed, along with defined success indicators based on the information and data analysis.
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  • ⦿ Solution represents the design, development, and implementation of the solution or set of solutions meant to correct the problems, close gaps, improve or enhance organizational performance and effectiveness, or seize opportunities. Outputs may include a communication plan, a role-and-responsibility matrix, a training plan, a training curriculum, an implementation plan, a risk management plan, an evaluation plan, or a change management plan.
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  • ⦿ Evaluation represents the continuous process of collecting formative and summative evaluation data to determine whether the initiative is meeting the intended goals and achieving defined success indicators. Outputs generally include an evaluation report with recommendations for continuous improvement.

Many OD interventions relate to human resource management and talent management. While HR initiatives focus on people practices, organization development zooms out to consider multiple inputs and tools that cut across the breadth and depth of the organization. OD is more holistic and strategic whereas HR is operational.

Like talent development, sometimes OD functions are under the HR umbrella.

GPI development initiatives are typically categorized as:

Human process initiatives that include team building, interpersonal and group process approaches, and coaching

Techno-structural initiatives that include restructuring organizations (for example, mergers and acquisitions, flexible work design,  business process engineering, total quality management, quality of work life, Six Sigma, and Agile)

Human resource management initiatives that include employee engagement, employee experience, performance management, employee development, succession planning, coaching and mentoring, career development, and diversity awareness

Strategic initiatives that include organization transformation, culture change, leadership development, and attraction and retention initiatives.

Most initiatives have elements of each category. TD professionals should ensure that any OD solution is aligned to specific strategic objectives.

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