TYBMS SEM 6 Human Resource: Organizational Development (Q.P. April 2025 with Solution)

  Paper/Subject Code: 86007/Elective: Human Resource: Organizational Development

TYBMS SEM 6

Human Resource: 

Organizational Development  

(Q.P. April 2025 with Solution)

Note: All questions are compulsory subject to internal choice Each question carries equal marks.

Q1 A) Choose and Write correct answer from the options given below:        (Any 8) (8)

1. The first step in the Process of Organizational Development starts with _________ 

(Action planning/Analyzing results/Identifying the problem/Feedback)

Ans: Identifying the problem

2. One of the most important things to manage in Organizational Development is _________ (Payments/Culture/Products/Environment)

Ans: Culture

3. Business Process Reengineering was propounded by _________.

(Michael Hammer/Thomas Hammer/Jim Hammer/Peter Hammer)

Ans: Michael Hammer

4. Power and Politics are __________ Process in any Organization. 

(Complimentary/ Natural/ Profit/ Reactive)

Ans: Natural

5. _________ Stage is the Peak level of the Organizational life Cycle.

(Growth/Infant/Prime/Ageing)

Ans: Prime

6. One of the Competencies of Organizational Development is measuring _________. (Competition/Structure/Success/Sales)

Ans: Success

7. Reenergizing means to _________ in Organizational Development.

(Refresh/Renewal/Recharge/Rebuild)

Ans: Renewal

8. __________ Propounded Managerial Grid Training.

(Gordon Lippit /Robert Blake and Jane Mouton/ Eric Bern/Warrick)

Ans: Robert Blake and Jane Mouton

9. One of the Parameters for Judging Organizational Effectiveness is Bias for ________.

(Action/Autonomy/ Entrepreneurship/ Markets)

Ans: Action

10. _________ occurs when organizational members are forced to participate in an Organizational Development Intervention.

(Deception/Coercion/Misrepresentation/Technical Ineptness)

Ans: Coercion

Q1 B) State Whether following statement is true or false: (Any 7)        (7)

1. The OD practitioner acts as a coach to the organizational leaders and change agents.

Ans: True

2. A healthy Organization shares its business goals with employees at every level of organization.

Ans: True

3. Visioning tactic is an important tactic to influence the Organizational Behaviors.

Ans: True

4. A mentor helps in skill development for employees to handle the change process.

Ans: True

5. The organizational level study is a micro study.

Ans: False

6. Uncertainty Avoidance is maintaining status Quo.

Ans: False

7. Strategy represents the methods an organization uses to accomplish its task.

Ans: True

8. Organizational Diagnosis is done in four levels.

Ans: True

9. Formulation of re-design plan is the real Crux of the BPR.

Ans: True

10. Transactional Analysis is the method for studying interactions between individuals.

Ans: True

Q2 A) Enumerate in detail the importance of Organizational Development            (08)

Organizational Development (OD) is a planned, systematic effort to improve an organization’s effectiveness, efficiency, and overall health. It combines behavioral science, management practices, and change processes to help organizations adapt to shifting environments and achieve long-term success. The importance of OD lies in how it strengthens both the human and structural sides of an organization, ensuring sustainable growth.

1. Improves Organizational Effectiveness

OD helps organizations function at their best. By analyzing structures, processes, and workflows, OD identifies inefficiencies and recommends improvements. This allows the organization to align its internal systems with its strategic goals, ensuring better productivity and resource utilization.

2. Facilitates Change Management

Change is inevitable due to technology, globalization, customer expectations, and competition. OD provides organizations with structured approaches for introducing and managing change. It minimizes resistance, prepares employees for new ways of working, and ensures that transitions happen smoothly without disrupting business operations.

3. Strengthens Communication

A critical aspect of OD is encouraging open, two-way communication. This reduces barriers between levels of hierarchy, builds trust, and ensures that employees clearly understand organizational goals. Strong communication also enhances collaboration across departments and teams.

4. Encourages Innovation and Creativity

Organizations that fail to innovate risk becoming obsolete. OD fosters a culture where employees are encouraged to share ideas, experiment, and take calculated risks. By supporting innovation, OD ensures that organizations remain competitive and responsive to market changes.

5. Develops Leadership and Employee Skills

OD emphasizes continuous learning and professional development. Leaders receive coaching to improve decision-making and people management, while employees are trained in new skills that help them adapt to change. This not only increases performance but also improves retention by showing employees that the organization invests in their growth.

6. Builds a Positive Organizational Culture

Culture influences how employees behave and how work gets done. OD interventions focus on shaping healthy values, norms, and behaviors that promote teamwork, accountability, and trust. A strong culture reduces workplace conflict and enhances employee satisfaction.

7. Increases Employee Engagement and Morale

OD encourages participation by involving employees in problem-solving and decision-making. When employees feel their contributions matter, their motivation and morale rise. This leads to greater commitment, lower turnover, and higher productivity.

8. Strengthens Problem-Solving Abilities

OD provides systematic methods for diagnosing organizational problems. Instead of relying on temporary fixes, OD encourages root-cause analysis and long-term solutions. This helps organizations resolve issues more effectively and prevent them from recurring.

9. Ensures Strategic Alignment

For an organization to succeed, its strategy, structure, processes, and people must be aligned. OD helps bridge gaps between vision and execution, ensuring that everyday operations support broader business goals. This alignment boosts efficiency and competitiveness.

10. Promotes Long-Term Sustainability

OD focuses not only on immediate performance but also on long-term survival. By building resilience, adaptability, and continuous learning into the system, OD enables organizations to thrive even in uncertain or rapidly changing environments.

B) Discuss the Evolution Of Organizational Development.            (07)

1. Early Foundations (Pre–1940s)

• Scientific Management (Frederick Taylor): Focused on efficiency, productivity, and work processes. It was mechanistic but laid the groundwork for thinking about systematic improvement.

• Human Relations Movement (Elton Mayo & Hawthorne Studies, 1920s–1930s): Highlighted the importance of human behavior, motivation, and group dynamics in the workplace. This was a big shift from pure efficiency to considering people’s needs.

2. World War II and Post-War Influences (1940s–1950s)

• Kurt Lewin’s Contributions:

  • Introduced concepts of group dynamics, field theory, and action research.

  • Developed the famous Change Model (Unfreeze–Change–Refreeze), which became a cornerstone of OD.

• T-Group Training (Training Groups): Designed to improve interpersonal skills, self-awareness, and group effectiveness. This became a foundation for OD’s focus on behavior and relationships.

3. Birth of Organizational Development (1950s–1960s)

• The term “Organizational Development” began to emerge.

• Pioneers like Richard Beckhard, Douglas McGregor, Chris Argyris, and Warren Bennis helped formalize OD as a field.

• The focus expanded from individuals and groups to the entire organization as a system.

• Concepts like participative management, leadership development, and organizational culture became central.

4. Expansion and Integration (1970s)

• OD started incorporating systems theory, recognizing that organizations are open systems interacting with their environment.

• Quality of work life, job enrichment, and participative decision-making became important themes.

• The role of OD practitioners as consultants, facilitators, and change agents grew stronger.

5. Maturity and Diversification (1980s–1990s)

• OD expanded into strategic change management, aligning organizational change with business strategy.

• Cross-cultural OD developed as organizations became more global.

• Integration with Total Quality Management (TQM), Business Process Reengineering (BPR), and other improvement methodologies.

• Use of large-scale interventions like Future Search and Open Space Technology.

6. Contemporary OD (2000s–Present)

• OD now emphasizes agility, innovation, and continuous learning.

• Incorporates ideas from positive psychology (e.g., Appreciative Inquiry, strengths-based development).

• Heavy focus on culture, leadership, employee engagement, and digital transformation.

• Increasing use of data analytics, AI, and technology in OD interventions.

• Growing importance of diversity, equity, and inclusion (DEI) as part of organizational health.

OR

C) Explain the Emerging Trends in Organizational Development.    (8)

1. Focus on Agility and Flexibility

• Modern organizations operate in fast-changing environments.

• OD is shifting from long, rigid change processes to more agile, adaptive approaches.

• Continuous learning, quick decision-making, and flexible structures are emphasized over fixed hierarchies.

2. Integration of Technology and Data Analytics

• Digital transformation is reshaping OD.

• Use of HR analytics, AI, and big data helps diagnose organizational health, track employee engagement, and measure change effectiveness.

• Virtual collaboration tools and remote work platforms are now part of OD interventions.

3. Greater Emphasis on Employee Experience

• Instead of just focusing on productivity, OD now prioritizes the employee journey—from onboarding to career growth.

• Engagement, well-being, and work–life balance are central.

• Organizations recognize that a positive employee experience directly impacts performance and retention.

4. Rise of Diversity, Equity, and Inclusion (DEI)

• OD practices increasingly integrate DEI to build fair, inclusive, and respectful workplaces.

• This trend addresses systemic biases and promotes belonging, which improves collaboration and innovation.

5. Use of Positive Approaches

• Traditional OD often focused on fixing problems. Emerging OD emphasizes strengths-based methods like Appreciative Inquiry.

• The idea is to build on what’s working well and create positive energy for change.

6. Globalization and Cross-Cultural OD

• As organizations expand globally, OD must address cultural diversity and cross-border collaboration.

• Developing cultural intelligence and managing global teams is becoming essential.

7. Emphasis on Leadership Development

• OD is focusing more on developing leaders who can navigate uncertainty, inspire trust, and drive change.

• Coaching, mentoring, and emotional intelligence training are key tools.

8. Sustainability and Corporate Social Responsibility (CSR)

• Organizations are expected to act responsibly toward society and the environment.

• OD is aligning with sustainability initiatives, ethical practices, and community engagement.

• This not only strengthens reputation but also builds employee pride and purpose.

9. Continuous Change as a Norm

• Earlier, OD interventions were occasional and project-based.

• Now, change is seen as ongoing and permanent, requiring organizations to build adaptability into their culture.

10. Hybrid Work and Remote Collaboration

• Post-pandemic, OD is addressing challenges of remote and hybrid work.

• Focus areas include digital culture, remote team-building, and creating engagement without physical presence.

D) Elaborate in detail the several roles played by OD Practitioner.

The OD practitioner is central to the success of organizational development initiatives. Their role is multifaceted because they must act as a facilitator, advisor, trainer, and sometimes even a mediator. Let’s go step by step and elaborate on the several roles an OD practitioner plays.

Roles of an OD Practitioner

1. Role as a Change Agent

• The OD practitioner guides the organization through change.

• They help leaders and employees recognize the need for change, prepare for it, and implement it.

• Their role is to reduce resistance, increase buy-in, and ensure the change process is smooth.

2. Role as a Coach and Mentor

• OD practitioners often coach leaders, managers, and employees to develop new skills, mindsets, and behaviors.

• As mentors, they provide guidance for handling uncertainty and building resilience.

• They support personal as well as professional growth.

3. Role as a Facilitator

• They facilitate group processes such as team-building exercises, workshops, and brainstorming sessions.

• As facilitators, they create an environment where participants can communicate openly, collaborate, and solve problems effectively.

• They remain neutral while helping groups arrive at their own solutions.

4. Role as a Consultant/Advisor

• OD practitioners act as consultants by diagnosing organizational issues and offering recommendations.

• They provide expert advice on structure, culture, processes, and strategy.

• The focus is not only on giving solutions but also on involving the organization in co-creating them.

5. Role as a Trainer/Educator

• OD practitioners design and deliver training programs to improve employee and leadership competencies.

• They educate people about change processes, communication, teamwork, conflict management, and leadership.

• By building skills, they prepare the workforce to support organizational goals.

6. Role as a Diagnostician

• They collect and analyze data (through surveys, interviews, observation, etc.) to understand organizational health.

• They identify strengths, weaknesses, and areas needing intervention.

• Their diagnosis becomes the foundation for developing action plans.

7. Role as a Process Consultant

• Instead of only solving problems, OD practitioners help organizations understand their own processes.

• They encourage self-diagnosis and self-learning so that organizations can continue improving even after the consultant leaves.

8. Role as a Mediator/Conflict Manager

• In times of conflict between individuals, teams, or departments, OD practitioners step in as neutral mediators.

• They create safe spaces for dialogue and help parties reach constructive resolutions.

• This reduces friction and restores collaboration.

9. Role as a Researcher and Innovator

• OD practitioners keep up with new models, frameworks, and practices in behavioral science and management.

• They experiment with innovative methods to address organizational challenges.

• This role ensures that the organization benefits from the latest knowledge and tools.

10. Role as an Ethical Guardian

• OD practitioners must maintain integrity, fairness, and confidentiality.

• They ensure that interventions respect employees’ dignity and align with ethical standards.

• They balance organizational goals with employee well-being.

Q3 A) Discuss the techniques of Organizational diagnosis Development.    (8)

Organizational Diagnosis is a systematic process used to understand the current functioning of an organization, identify areas of improvement, and plan effective change. It helps managers measure performance, analyze problems, and design OD interventions.

Organizational diagnosis is a crucial step in the OD process. It provides a clear understanding of the organization's current state, identifies problem areas, and helps in formulating appropriate interventions. Several techniques are employed in this phase:

1. Surveys and Questionnaires

Surveys and questionnaires are widely used for gathering data from a large number of employees. They can be structured to collect both quantitative and qualitative data on various aspects of the organization, such as employee satisfaction, communication effectiveness, leadership styles, and organizational culture.

• Advantages: Surveys are relatively inexpensive, can reach a large audience, and provide quantifiable data that can be easily analyzed. They also allow for anonymity, encouraging honest feedback.

• Disadvantages: Response rates can be low, and the data may be superficial if the questions are not well-designed. Surveys also lack the depth of understanding that can be gained through face-to-face interactions.

2. Interviews

Interviews involve direct, one-on-one conversations with employees at different levels of the organization. They provide an opportunity to gather in-depth information about their experiences, perceptions, and opinions.

• Advantages: Interviews allow for probing questions and follow-up discussions, providing a richer understanding of the issues. They also build rapport and trust between the interviewer and the interviewee.

• Disadvantages: Interviews are time-consuming and expensive. The data collected can be subjective and difficult to analyze. Interviewer bias can also influence the responses.

3. Focus Groups

Focus groups bring together a small group of employees to discuss specific topics or issues. A facilitator guides the discussion, encouraging participants to share their perspectives and experiences.

• Advantages: Focus groups provide a forum for open and honest dialogue, allowing participants to build on each other's ideas. They can uncover hidden issues and generate creative solutions.

• Disadvantages: The dynamics of the group can influence the responses, with dominant personalities potentially overshadowing quieter members. The data collected can be difficult to analyze and may not be representative of the entire organization.

4. Observation

Observation involves directly observing employees in their work environment. This can provide valuable insights into their behaviors, interactions, and work processes.

• Advantages: Observation provides firsthand information about how work is actually done, rather than how it is described. It can uncover inefficiencies, bottlenecks, and other problems that may not be apparent through other methods.

• Disadvantages: Observation can be time-consuming and intrusive. Employees may alter their behavior when they know they are being observed (the Hawthorne effect). The observer's interpretation of the data can also be subjective.

5. Document Analysis

Document analysis involves reviewing organizational documents, such as policies, procedures, reports, and memos. This can provide valuable information about the organization's structure, systems, and processes.

• Advantages: Document analysis is a relatively inexpensive and unobtrusive method of gathering data. It can provide a historical perspective on the organization's evolution and identify inconsistencies or gaps in its documentation.

• Disadvantages: Documents may not accurately reflect the reality of how the organization operates. They may be outdated or incomplete. The analysis can also be time-consuming and require specialized knowledge.

Organizational Development Techniques

Once the organizational diagnosis is complete, the next step is to implement OD interventions aimed at addressing the identified issues and improving organizational effectiveness. Several techniques are commonly used:

1. Team Building

Team building focuses on improving the effectiveness of work teams by enhancing communication, collaboration, and problem-solving skills.

• Techniques: Activities may include team-building exercises, workshops, and retreats. These activities are designed to foster trust, improve communication, and clarify roles and responsibilities.

• Benefits: Improved team performance, increased employee engagement, and reduced conflict.

2. Process Consultation

Process consultation involves a consultant working with a team or group to help them understand and improve their interpersonal processes, such as communication, decision-making, and conflict resolution.

• Techniques: The consultant observes the group in action, provides feedback on their processes, and facilitates discussions to help them identify and address their issues.

• Benefits: Improved communication, better decision-making, and more effective conflict resolution.

3. Survey Feedback

Survey feedback involves collecting data from employees through surveys, analyzing the data, and then sharing the results with the employees. The feedback is used to identify areas for improvement and to develop action plans.

• Techniques: Surveys are administered to employees, the data is analyzed, and the results are presented to the employees in a feedback session. The employees then work together to develop action plans to address the identified issues.

• Benefits: Increased employee engagement, improved communication, and a greater sense of ownership of the improvement process.

4. Large Group Interventions

Large group interventions bring together a large number of employees (often the entire organization) to address strategic issues and to create a shared vision for the future.

• Techniques: Techniques may include open space technology, world café, and appreciative inquiry. These techniques are designed to foster dialogue, generate ideas, and build consensus.

• Benefits: Increased employee engagement, improved communication, and a greater sense of shared purpose.

5. Training and Development

Training and development programs are designed to enhance the skills and knowledge of employees, enabling them to perform their jobs more effectively.

• Techniques: Programs may include classroom training, on-the-job training, mentoring, and coaching. The content of the programs is tailored to the specific needs of the organization and its employees.

• Benefits: Improved employee performance, increased employee engagement, and a more skilled and knowledgeable workforce.

6. Structural Interventions

Structural interventions involve changing the organization's structure, systems, or processes to improve its effectiveness.

• Techniques: Techniques may include job redesign, organizational restructuring, and the implementation of new technologies.

• Benefits: Improved efficiency, increased responsiveness to change, and a more adaptable organization.

B) What are the causes of Organizational Renewal?

Organizational Renewal refers to the continuous process through which an organization adapts, improves and reinvents itself to survive in a changing environment. Organizations do not operate in isolation. They are influenced by external forces such as technology, market conditions and government policies, as well as internal factors like employee needs, productivity levels and organizational culture. When these factors change, renewal becomes necessary to maintain effectiveness and competitiveness.

The major causes of Organizational Renewal are discussed below.

1. Changes in the External Environment

The business environment today changes rapidly. Factors outside the organization can suddenly impact operations and performance. No organization has control over these factors, but it must respond to them.

Key environmental forces:

• Economic changes such as inflation, recession and fluctuating demand.

• Social changes like shifting lifestyle patterns and customer expectations.

• Legal and political changes such as taxation, business regulations and labor laws.

• Globalization leading to foreign competition and international standards.

If an organization does not adjust to these environmental changes, it may lose customers, market share and even its ability to survive. Renewal may involve new strategies, restructuring processes or building new product portfolios.

2. Technological Developments

Technology is one of the strongest drivers of change today. Advancements can make existing systems outdated almost overnight. Organizations need to upgrade to remain competitive.

Examples of technology-driven renewal:

• Automation and robotics in manufacturing.

• Online platforms replacing traditional retail.

• Use of data analytics in business decision making.

• Cloud computing and AI in service delivery.

Organizations must renew their operations, job structures and employee skills to match new technology. Failure to adopt new tools leads to higher costs, inefficiency and loss of competitiveness.

3. Internal Organizational Problems

Sometimes the need for renewal arises not from the outside world but from within the organization. Over time, systems and processes may become slow, outdated or ineffective.

Common internal problems include:

• Poor coordination between departments.

• Reduced productivity.

• High employee turnover.

• Lack of communication and transparency.

• Conflicts between management and employees.

These problems may lead to lower profits and declining performance. Renewal in such cases may involve reengineering processes, improving HR policies, redesigning job roles or leadership development.

4. Changes in Workforce Expectations

Workforce characteristics today are very different compared to past decades. Employees expect more involvement, growth opportunities and a better work environment. Traditional management styles no longer work in many industries.

Modern employees look for:

• Work-life balance.

• Continuous learning and skill development.

• Recognition and meaningful contribution.

• Fair performance systems and transparency.

If organizations fail to recognize these expectations, they may face lower morale, lack of commitment and employee turnover. Renewal efforts may include employee empowerment programs, modern appraisal systems, better communication practices and creating a learning culture.

5. Increasing Competition

Markets are becoming more crowded. Competition is not only local but global. New firms may enter the industry with better processes, innovative products or lower prices. Customers have more choices, which increases pressure on existing firms.

Renewal becomes necessary to:

• Improve product and service quality.

• Introduce new features or business models.

• Maintain customer loyalty.

• Differentiate from rivals.

If organizations do not respond in time, they may lose relevance and competitive advantage.

6. Need for Strategic Reorientation

As organizations grow, their earlier strategies may become outdated. What worked in the early stages may not work later. Organizations must periodically rethink their direction.

Situations that demand strategic renewal:

• Entering new markets.

• Shifting from a domestic to a global focus.

• Mergers, acquisitions or diversification.

• Changes in leadership vision.

Strategic renewal may involve new long-term goals, revised mission statements, new product lines or restructuring of departments to support bigger objectives.

7. Organizational Life Cycle

Every organization passes through stages such as startup, growth, maturity and decline. Many organizations become comfortable during maturity and stop innovating. If no change takes place, the organization enters decline.

Renewal helps in:

• Reinforcing innovation.

• Refreshing product lines.

• Eliminating outdated processes.

• Re-energizing employees and leadership.

This prevents decline and helps the organization stay healthy and competitive in the long run.

8. Innovation and Learning Needs

In modern business, learning is continuous. Organizations that encourage innovation stay ahead. Renewal develops a culture where employees are encouraged to experiment, take initiative and learn from mistakes.

Renewal efforts help in:

• Skill development and training.

• Encouraging creative ideas.

• Improving problem solving.

• Increasing adaptability to future challenges.

A learning organization is better prepared for long-term sustainability.

9. Customer Pressure

Customers today are knowledgeable, demanding and have many alternatives. Their expectations are changing constantly. They look not only for reasonable pricing but also quality, convenience and personalized service.

If customer expectations shift, organizations may need to:

• Introduce new service channels such as online systems.

• Improve product quality and delivery time.

• Offer better customer support.

• Redesign products based on feedback.

Without such renewal, customer dissatisfaction and loss of loyalty may occur.

C) Explain in brief Organizational Life Cycle.    (8)

The organizational life cycle, much like the biological life cycle of living organisms, describes the evolution of an organization from its birth to its potential death or transformation. While different models exist, a common framework includes the following stages:

1. Startup/Birth Stage

• Characteristics: This is the initial phase where the organization is just beginning. It's characterized by high energy, innovation, and a strong focus on survival. The structure is typically informal and entrepreneurial, with a small team and a flat hierarchy. The founder(s) often play a central role, driving the vision and making most of the decisions.

• Key Challenges: Securing funding, establishing a market presence, attracting and retaining talent, and managing cash flow are critical challenges. The organization needs to prove its viability and establish a sustainable business model.

• Leadership Focus: The primary focus is on innovation, product development, and securing initial customers. Flexibility and adaptability are crucial for navigating the uncertainties of the startup phase.

2. Growth Stage

• Characteristics: The organization experiences rapid growth in revenue, market share, and employees. The structure becomes more formalized, with the development of functional departments and specialized roles. Communication and coordination become more complex.

• Key Challenges: Managing growth effectively, delegating authority, maintaining quality, and developing efficient processes are key challenges. The organization needs to scale its operations and build a strong foundation for future expansion.

• Leadership Focus: The focus shifts to building a strong management team, developing standardized processes, and expanding into new markets. Strategic planning and resource allocation become increasingly important.

3. Maturity Stage

• Characteristics: The organization reaches a stable and established position in the market. Growth slows down, and the focus shifts to efficiency, profitability, and maintaining market share. The structure becomes highly formalized and bureaucratic.

• Key Challenges: Avoiding complacency, maintaining innovation, adapting to changing market conditions, and managing internal conflicts are key challenges. The organization needs to find ways to revitalize its operations and stay competitive.

• Leadership Focus: The focus shifts to cost control, process optimization, and maintaining customer loyalty. Strategic alliances and diversification may be pursued to maintain growth.

4. Decline Stage

• Characteristics: The organization experiences a decline in revenue, market share, and profitability. The structure becomes rigid and resistant to change. Employee morale may decline, and turnover may increase.

• Key Challenges: Managing decline effectively, reducing costs, divesting assets, and potentially restructuring the organization are key challenges. The organization needs to make difficult decisions to survive or prepare for closure.

• Leadership Focus: The focus shifts to cost cutting, efficiency improvements, and potentially selling off assets. Turnaround strategies may be attempted, but they often require significant changes to the organization's culture and operations.

5. Revival/Renewal Stage (Optional)

• Characteristics: This stage occurs if the organization successfully implements a turnaround strategy and revitalizes its operations. It involves significant changes to the organization's culture, structure, and strategy.

• Key Challenges: Overcoming resistance to change, rebuilding employee morale, and regaining market share are key challenges. The organization needs to demonstrate its ability to adapt and innovate.

• Leadership Focus: The focus shifts to innovation, strategic realignment, and rebuilding trust with employees and customers. A strong vision and effective communication are crucial for leading the organization through this transformation.

Factors Influencing the Life Cycle

Several factors can influence the speed and trajectory of an organization's life cycle, including:

• Industry Dynamics: Rapidly changing industries may accelerate the life cycle, while stable industries may allow for a longer maturity phase.

• Technological Advancements: Disruptive technologies can significantly impact an organization's competitive advantage and accelerate its decline if it fails to adapt.

• Economic Conditions: Economic downturns can negatively impact an organization's performance and accelerate its decline.

• Management Decisions: Strategic decisions made by leaders can significantly impact the organization's trajectory and its ability to navigate the different stages of the life cycle.

• Innovation: Continuous innovation and adaptation are crucial for extending the organization's life cycle and avoiding decline.

D) Do you think Change can be Planned? Elaborate Planned Change in detail. (7)

Yes, change can be planned. In many organizations, change does not happen by accident. It is intentionally designed, structured and implemented to achieve specific results. When managers and leaders realize that the present methods, systems or strategies will not meet future needs, they introduce planned change to improve performance and help the organization grow.

Planned change is a systematic and proactive process in which change is introduced deliberately rather than reacting to crises. It involves analyzing current conditions, identifying problems, setting objectives, designing solutions and executing change through structured steps.

Meaning of Planned Change

Planned Change refers to a deliberate and organized effort by management to modify processes, structures, culture, strategies or behavior to achieve desired goals. It does not occur randomly. Instead, it follows a plan, supported by data, analysis and continuous monitoring.

The main aim is to improve organizational effectiveness, develop human resources, solve problems and adapt to new challenges.

Models of Planned Change

Several models provide frameworks for understanding and managing planned change. Some of the most prominent include:

Lewin's Three-Step Model

Kurt Lewin's model is a classic and straightforward approach that consists of three stages:

1. Unfreezing: This stage involves preparing the organization for change by creating a sense of urgency and highlighting the need for change. It may involve challenging existing beliefs, values, and behaviors.

2. Changing: This stage involves implementing the planned changes. It requires clear communication, employee involvement, and support from leadership.

3. Refreezing: This stage involves stabilizing the changes and making them permanent. It requires reinforcing new behaviors, establishing new norms, and providing ongoing support.

Kotter's Eight-Step Model

John Kotter's model provides a more detailed and comprehensive approach to planned change:

1. Create a sense of urgency: Highlight the need for change and motivate people to take action.

2. Build a guiding coalition: Assemble a team of influential individuals to lead the change effort.

3. Form a strategic vision and initiatives: Develop a clear vision of the desired future state and identify specific initiatives to achieve it.

4. Enlist a volunteer army: Communicate the vision and initiatives widely and encourage people to get involved.

5. Enable action by removing barriers: Identify and remove obstacles that hinder progress.

6. Generate short-term wins: Celebrate early successes to build momentum and maintain motivation.

7. Sustain acceleration: Keep the momentum going by continuing to implement changes and address challenges.

8. Institute change: Anchor the changes in the organization's culture and practices.

Benefits of Planned Change

Planned change offers several advantages over reactive or ad-hoc approaches:

• Reduced Resistance: By involving employees in the planning process and communicating the rationale for change, organizations can minimize resistance and foster buy-in.

• Improved Outcomes: A structured approach increases the likelihood of achieving the desired outcomes by ensuring that the change is well-planned, implemented effectively, and evaluated rigorously.

• Enhanced Efficiency: Planned change can streamline processes, reduce waste, and improve overall efficiency.

• Increased Adaptability: By developing a culture of continuous improvement, organizations can become more adaptable to changing market conditions and emerging opportunities.

• Better Employee Morale: When change is managed effectively, it can improve employee morale by creating a sense of purpose, providing opportunities for growth, and fostering a positive work environment.

Limitations of Planned Change

Despite its benefits, planned change also has limitations:

• Unforeseen Circumstances: External factors, such as economic downturns, technological disruptions, or unexpected competition, can disrupt even the most well-laid plans.

• Resistance to Change: Even with careful planning, some individuals or groups may resist change due to fear of the unknown, loss of control, or perceived threats to their interests.

• Complexity: Organizational change can be complex and multifaceted, involving multiple stakeholders, conflicting interests, and unforeseen consequences.

• Time and Resources: Planned change can be time-consuming and resource-intensive, requiring significant investment in planning, implementation, and evaluation.

• The Illusion of Control: Over-reliance on planning can create a false sense of control, leading to rigidity and an inability to adapt to unexpected events.

Q4 A) Explain the Steps in Organizational Development Interventions.    (8)

Organizational Development Interventions are structured activities used to improve the performance, culture and effectiveness of an organization. These interventions are not random; they follow a series of systematic steps. The goal is to diagnose problems, implement change, and ensure long-term improvement in human and organizational capabilities.

The major steps in OD interventions are explained below.

1. Problem Identification

The first step is identifying that a problem exists. Management or employees may notice issues such as low productivity, poor teamwork, conflicts, declining customer satisfaction or resistance to change. Recognizing this need for improvement creates the foundation for the OD process.

Focus at this stage:

• Understanding symptoms of the problem.

• Realizing that change is necessary.

• Gaining managerial commitment to start OD.

2. Entry and Contracting

An OD consultant, either internal or external, is brought in. The consultant meets leaders to understand the situation and clarify expectations.

Activities include:

• Clarifying the role of the consultant.

• Defining the issue, targets and expectations.

• Establishing timelines and responsibilities.

This helps create a formal agreement (or contract) between consultant and organization.

3. Data Collection and Diagnosis

Once the consultant enters the system, data is collected to understand actual issues. The goal is to identify root causes rather than treat surface-level symptoms.

Methods of data collection:

• Interviews

• Surveys and questionnaires

• Observation

• Group discussions

• Document analysis

Outcomes:

• Understanding organizational processes.

• Identifying strengths, weaknesses and problem areas.

• Creating a factual basis for planning interventions.

4. Data Analysis and Feedback

After collecting data, the consultant analyzes findings and presents them to management and employees. This step encourages transparency and participation. Everyone gets a clear picture of existing problems and their causes.

Benefits:

• Helps employees understand organizational issues honestly.

• Builds trust between consultant and participants.

• Encourages ownership of the change process.

5. Action Planning

Based on the diagnosis, the consultant and organization jointly design strategies and interventions to address the issues.

Activities include:

• Setting specific goals.

• Selecting appropriate OD interventions (such as team building, coaching, role analysis, process consultation, leadership development, etc.).

• Creating a timeline and assigning responsibilities.

This step ensures the organization knows what change will happen and how.

6. Implementation of OD Interventions

This is the stage where planned OD actions and activities are carried out. Employees, teams, and managers participate in the programs designed during action planning.

Examples of interventions:

• Skill development workshops

• Team-building sessions

• Structural changes

• Leadership training

• Conflict resolution programs

• Job redesign

• Coaching and mentoring

The consultant supports employees during implementation and ensures the intervention is effective.

7. Evaluation of Results

After implementation, the organization must measure whether the interventions have created the expected improvements.

Evaluation may measure:

• Change in productivity.

• Improvement in communication and morale.

• Reduction in conflicts.

• Increase in customer satisfaction.

• Achievement of project goals.

Feedback is collected to understand the impact and identify areas that still need improvement.

8. Reinforcement and Follow-up

If changes are not reinforced, employees may return to old habits. Therefore, the organization must follow up and ensure that the benefits of the intervention are sustained.

Steps include:

• Providing continuous support and coaching.

• Recognizing and rewarding new behaviors.

• Updating procedures, systems and policies.

• Conducting periodic reviews and refresher programs.

This helps the new processes become part of the organization’s culture.

B) Explain the Modern techniques of Organizational Development Intervention.    (7)

Modern OD interventions have evolved to meet the challenges of globalization, digital transformation, competitive markets and changing workforce expectations. Earlier OD focused mainly on human relations, teamwork and sensitivity training, but modern organizations require advanced methods that improve performance, speed, quality and innovation. These interventions combine technology, strategic management, process improvement and learning systems.

The major modern OD techniques are explained in detail below.

1. Business Process Reengineering (BPR)

Business Process Reengineering refers to the fundamental redesign of business processes to achieve dramatic improvements in cost, speed, customer satisfaction and productivity.

Features:

• Focus on the core processes that add value.

• Elimination of unnecessary steps, duplication and delays.

• Use of information technology to redesign workflows.

• Redefinition of job roles and responsibilities.

When BPR is used:

• When small improvements are not enough.

• When an organization needs major performance breakthroughs.

• When competition or customers demand faster and better service.

Example:

A bank redesigns the loan approval process using digital tools, reducing approval time from several days to a few hours.

BPR is transformational because it changes the way the organization works, not just small parts of it.

2. Total Quality Management (TQM)

TQM is a long-term approach that aims to improve product and service quality through continuous improvement and participation of all employees.

Principles:

• Customer satisfaction is the primary goal.

• Every employee contributes to quality.

• Prevention of defects is better than fixing them.

• Decisions are based on data rather than assumptions.

Tools used in TQM:

• Benchmarking

• Fishbone diagrams

• Quality circles

• Statistical process charts

Benefits:

• Improved product quality

• Reduced waste and rework

• Better customer loyalty

TQM helps build a culture where quality becomes a daily responsibility.

3. Six Sigma

Six Sigma is a scientific approach to eliminating defects and improving processes. It aims for near-perfect performance, usually defined as only 3.4 defects per million opportunities.

Methodology:

Most Six Sigma projects use DMAIC:

• Define the problem

• Measure current performance

• Analyze the causes

• Improve the process

• Control the results

Features:

• Heavy use of statistical tools.

• Project-based improvement.

• Professionals are trained as Green Belts, Black Belts and Master Black Belts.

Six Sigma is used widely in manufacturing, finance, healthcare and service industries.

4. Learning Organization

A learning organization is one that continuously improves by encouraging employees to acquire and share knowledge.

Characteristics:

• Openness to new ideas.

• Continuous training and development.

• Encouragement of experimentation.

• Learning from mistakes rather than blaming.

• Free sharing of information across departments.

Outcome:

Employees become problem solvers and innovators, making the organization flexible and adaptable to change.

Learning organizations survive better in fast-changing environments.

5. Knowledge Management (KM)

Knowledge Management focuses on capturing organizational knowledge and making it available to employees.

Sources of knowledge:

• Employee experience

• Best practices

• Case studies

• Reports, documents and databases

• Lessons learned from completed projects

KM Tools:

• Intranets and online portals

• Digital knowledge libraries

• Expert systems

• Wikis and forums

Benefits:

• Faster decision making

• Prevents loss of knowledge when employees leave

• Builds collective intelligence

KM supports continuous learning and better performance.

6. Empowerment and Participative Management

This OD technique gives employees more authority, responsibility and participation in decisions affecting their work.

Practices include:

• Delegating power to teams.

• Sharing information openly.

• Encouraging employee suggestions.

• Involving workers in goal setting and problem solving.

Effects:

• Higher motivation and commitment.

• Improved creativity.

• Stronger sense of ownership and accountability.

Many modern organizations have moved away from hierarchical control to empowered teams.

7. Flexible Work Systems

To meet changing workforce expectations, organizations have introduced flexible working arrangements.

Examples:

• Remote working

• Hybrid work

• Flexible working hours

• Compressed work week

• Job sharing

Benefits:

• Better work-life balance

• Higher productivity and employee satisfaction

• Ability to attract skilled talent from anywhere

This intervention has become widespread after widespread technological adoption.

8. Appreciative Inquiry (AI)

Appreciative Inquiry is a positive approach to change. Unlike traditional OD, which focuses on weaknesses and problems, AI emphasizes strengths and success stories.

Process often follows the 4-D model:

• Discover: Identify what the organization does well.

• Dream: Imagine what the organization could become.

• Design: Plan how to achieve the future vision.

• Deliver: Implement the action plan.

Benefits:

• Builds morale and optimism.

• Encourages employee participation.

• Creates a positive environment for change.

AI is often used during cultural transformation or leadership development.

9. Competency Mapping and Talent Management

Modern organizations focus on identifying employee skills and matching them to organizational needs.

Competency Mapping involves:

• Identifying skills required for each role.

• Assessing employee capabilities.

• Planning training and development programs.

Talent management ensures that:

• High-potential employees are identified early.

• Career paths and leadership pipelines are created.

• Skill gaps are minimized.

This leads to long-term human resource development.

10. Organizational Restructuring

Restructuring interventions aim to align organizational structure with business strategy.

Forms of restructuring:

• Downsizing or rightsizing

• Mergers and acquisitions

• Decentralization

• Outsourcing

• Flattening the organizational hierarchy

Goals:

• Faster decision making

• Better customer focus

• Reduced cost

• Improved flexibility

Restructuring is often used when organizations need to respond quickly to market changes.

11. High Performance Work Systems (HPWS)

HPWS is a set of HR and managerial practices that work together to boost employee performance.

Key elements:

• Training and skill development.

• Performance-based rewards.

• Open communication.

• Team-based work design.

• Clear goals and expectations.

Results:

• Higher employee involvement.

• Strong culture of accountability.

• Improved productivity and innovation.

HPWS is widely used in modern competitive industries.

OR

C) Explain the Process of Evaluating Organizational Development Intervention.    (8)

Evaluating an Organizational Development intervention is an important step to determine whether the change effort has achieved the desired results. Without evaluation, management cannot know if the intervention was successful, whether employee behavior has changed, or what improvements are needed. Evaluation helps in learning from experience, improving future OD programs and ensuring that resources are used effectively.

The evaluation process usually follows a systematic sequence of steps, explained below.

1. Establishing Evaluation Objectives

The first step is to decide what needs to be evaluated. Different OD interventions have different objectives, so the evaluation must be aligned to the goal of the intervention.

This stage answers questions such as:

• What results are expected from the intervention?

• Which areas need to be measured?

• Are we evaluating employee behavior, process changes, productivity or morale?

Clear objectives guide the rest of the evaluation process.

2. Developing Evaluation Criteria and Standards

Once objectives are set, standards and indicators are developed to measure results. These criteria make evaluation measurable and specific.

Examples:

• Increase in productivity by a certain percentage.

• Reduction in absenteeism.

• Improvement in customer satisfaction scores.

• Better teamwork and communication.

These standards help compare before and after performance.

3. Data Collection

In this step, data is gathered to assess the impact of the OD intervention. The data can be both qualitative and quantitative.

Methods of data collection include:

• Surveys and questionnaires

• Interviews and focus groups

• Observation of behavior and performance

• Study of records and performance reports

• Feedback meetings

Types of data:

• Pre-intervention data (baseline)

• Post-intervention data

Collecting both helps measure real change.

4. Data Analysis and Interpretation

After collecting data, the information is analyzed to identify the actual impact of the intervention.

Questions analyzed:

• Did performance improve?

• Did employee behavior change?

• Were the objectives met?

• What factors contributed to success or failure?

Analysis can be statistical or descriptive, depending on the type of data collected. The interpretation should be realistic and unbiased.

5. Comparing Results with Objectives

The findings are compared with the pre-decided evaluation criteria and targets. This helps determine whether the intervention is:

• Fully successful

• Partially successful

• Not successful

This comparison provides clarity on the effectiveness of the intervention.

6. Providing Feedback to Stakeholders

The results of the evaluation are shared with management, employees and consultants. This ensures transparency and encourages collective learning.

Benefits of feedback:

• Helps employees understand the results of their efforts.

• Builds trust in the OD process.

• Encourages participation in future change efforts.

Feedback may be given through reports, presentations or meetings.

7. Identifying Areas for Improvement

Even if the intervention is successful, there are always lessons to be learned. Evaluation helps identify what worked well and what needs improvement.

Typical improvement areas:

• Changes in design of the intervention.

• Need for additional training.

• Support required for smoother implementation.

• Modification of policies or processes.

These insights help refine future OD programs.

8. Follow-up and Reinforcement

Evaluation does not end with reporting results. The organization must take follow-up actions to maintain improvements and prevent employees from returning to old habits.

Follow-up may include:

• Coaching and mentoring.

• Recognition and rewards.

• Continuous monitoring.

• Adjusting systems and procedures.

• Refresher programs.

This ensures long-term success and sustainability of the intervention.

D) Discuss the Power and Influence Tactics.    (7)

In every organization, managers and leaders use power and influence to guide employee behavior, achieve goals and maintain control. Power refers to the ability to influence others, while influence tactics are the specific methods leaders use to make others accept ideas, follow instructions or change their behavior.

Understanding both concepts is important because success in leadership depends not only on having power but also on using the right tactic in the right situation.

Types of Power

The major types of power commonly seen in organizations are:

1. Legitimate Power

This comes from a person’s official position or authority in the organizational hierarchy. Employees follow instructions because they believe the manager has the right to give them.

2. Reward Power

This is based on the ability to give rewards such as promotions, bonuses, praise or recognition. People follow because they expect positive outcomes.

3. Coercive Power

This is the power to punish or impose negative consequences like demotion, criticism or loss of privileges. Employees comply to avoid punishment.

4. Expert Power

When a person has specialized knowledge, skills or expertise, others respect and follow them. This power is common among technical experts, consultants and specialists.

5. Referent Power

This power comes from personal qualities like integrity, charisma or likability. Employees follow because they admire and trust the leader.

Influence Tactics

Power alone is not enough. Managers use influence tactics to persuade people to behave in a certain way. The major influence tactics include:

1. Rational Persuasion

The leader uses logical arguments, facts, data and analysis to convince others that an idea or proposal is the best option. This tactic works well with intelligent and analytical employees.

Example: Showing improved sales data to justify a new marketing approach.

2. Inspirational Appeal

The leader appeals to emotions, values and ideals to motivate employees. This tactic is effective for inspiring enthusiasm, commitment and passion.

Example: A manager motivating the team by connecting work goals to the company’s vision.

3. Consultation

The leader involves employees in decision-making by seeking their opinions or suggestions. This creates ownership and reduces resistance.

Example: Asking the team to help design a new workflow system.

4. Ingratiation

The leader uses praise, flattery or friendly behavior before making a request. When used properly, this helps create goodwill and a positive environment.

Example: Appreciating an employee’s hard work before asking them to work on a new task.

5. Exchange

The leader offers something in return for cooperation, such as a benefit, support or favor.

Example: “If you complete this project early, I will recommend you for a skill development program.”

6. Personal Appeal

The leader asks for cooperation based on personal friendship or loyalty. This tactic works best when strong personal relationships already exist.

Example: “I need your support on this project because you’ve always stood by the team.”

7. Coalition Tactics

The leader seeks support from others in the organization to persuade someone. The pressure increases when multiple people support the idea.

Example: Getting several department heads to back a proposal before presenting it to senior management.

8. Pressure Tactics

The leader uses warnings, reminders or threats to push employees into action. This tactic can work in urgent situations but may cause resentment if overused.

Example: Repeated follow-ups demanding progress or threatening negative consequences for delay.

9. Legitimating Tactics

The leader refers to rules, authority, formal procedures or organizational policies to justify a request.

Example: “This needs to be done because it is part of the new standard operating procedure.”

Selecting the Right Influence Tactic

Effective leaders choose influence tactics based on:

• Nature of the task

• Level of urgency

• Relationship with employees

• Organizational culture

• Importance of long-term commitment

Positive tactics like rational persuasion, consultation and inspiration build stronger relationships and lasting commitment. Negative tactics such as pressure and coercion may work quickly, but they can reduce motivation and trust if used too often.

Q5 A) Elaborate on Value Conflict and Dilemma.            (8)

Value Conflict and Dilemma are important concepts in the context of organizational behavior, decision-making, and ethics. These concepts refer to situations where individuals or groups face challenges due to competing values or principles that lead to internal or external conflicts. Understanding these terms can help organizations and individuals navigate difficult decisions and improve conflict resolution.

Value Conflict

A value conflict occurs when two or more values, beliefs, or goals are in direct opposition, leading to a situation where a person or group has to choose between them. It happens when different people or groups have different belief systems, cultural norms, ethical principles, or priorities that are incompatible with one another. The conflict arises because these values cannot be simultaneously upheld, requiring individuals or organizations to make difficult choices.

Characteristics of Value Conflict

• Opposition of Values: Two values are in direct conflict, and it becomes difficult to pursue both at the same time.
• Ethical Dilemmas: Often involves situations where ethical principles or moral standards clash with each other. For example, a manager may face a situation where they must choose between maximizing profits and providing fair wages to employees.
• Internal or External: A value conflict can be internal (within an individual) or external (between individuals or groups).
• Decision-Making Challenge: Resolving a value conflict requires careful decision-making, as there is no clear right or wrong answer, but instead a need to balance competing priorities.

Examples of Value Conflict

1. Business Ethics vs. Profit Maximization: A company may be torn between increasing profits by reducing wages or maintaining employee welfare. Here, the values of corporate responsibility and profit maximization clash.
2. Environmental Protection vs. Economic Growth: An organization might face a value conflict between adopting environmentally sustainable practices (which could incur higher costs) and pursuing rapid economic growth (which may involve ignoring environmental concerns).

Dilemma

A dilemma is a situation in which an individual or group faces a difficult choice between two or more alternatives, each of which has some undesirable or problematic consequences. In the context of value conflict, a dilemma usually occurs when the decision-maker must choose between two conflicting values or principles, both of which are important or desirable in their own right, but incompatible when put into practice.

Characteristics of a Dilemma

• Hard Choice: A dilemma forces the decision-maker to choose between two or more undesirable options.
• Moral or Ethical Implications: Often, dilemmas involve moral or ethical decisions where each choice has a potential benefit but also involves significant trade-offs or consequences.
• No Clear Solution: Unlike straightforward decisions, a dilemma lacks a clear answer or right course of action, and the decision-maker has to weigh the pros and cons of each choice.
• Emotional Stress: The decision-maker often experiences emotional distress or tension due to the conflict between the options, especially if personal values or societal norms are involved.

Examples of Dilemma

1. Whistleblowing vs. Loyalty: A company employee discovers unethical practices within the organization. The employee faces a dilemma: report the wrongdoing (whistleblowing) and risk career consequences or remain loyal to the company and stay silent.
2. Work-Life Balance: An employee is offered a promotion that requires more hours at work, but accepting it would lead to a loss of time with family. The dilemma involves choosing between career advancement and personal life priorities.
3. Fairness vs. Efficiency: A manager might face a dilemma between promoting the most qualified candidate for a position (which may not be the most popular choice) and promoting someone based on seniority or team cohesion, which might seem more "fair" but could be less efficient.

Differences Between Value Conflict and Dilemma

• Nature: A value conflict is primarily an ideological or ethical struggle where different values or principles compete against one another. A dilemma, on the other hand, is a decision-making situation where the individual must choose between two or more difficult choices, often due to conflicting values or interests.
• Focus: Value conflict focuses on the incompatibility of values or beliefs, while a dilemma focuses on the personal or external consequences of choosing one option over another.
• Resolution: Resolving a value conflict often involves rethinking priorities, negotiating, or finding a middle ground. A dilemma may require making a decision that balances trade-offs or accepting some level of compromise.

Resolution of Value Conflicts and Dilemmas

The resolution of value conflicts and dilemmas involves several steps:

1. Identify the Conflict: Recognize that a conflict exists and understand the values that are in opposition.
2. Evaluate Alternatives: Weigh the benefits and consequences of each alternative or decision that is being considered.
3. Consult Stakeholders: Discuss the issue with relevant stakeholders, such as colleagues, family, or mentors, to gain different perspectives.
4. Reflect on Personal Values: Consider what is most important from a personal, ethical, or organizational standpoint. Reflect on long-term goals and consequences.
5. Make the Decision: After careful evaluation, make the most informed decision, acknowledging the potential consequences and trade-offs.
6. Act and Review: Implement the decision and review its outcomes over time to determine whether the conflict or dilemma has been adequately addressed.

B) Explain different approaches to Organizational effectiveness.        (7)

Goal Attainment Approach

The goal attainment approach is one of the most traditional and straightforward ways to assess organizational effectiveness. It focuses on the extent to which an organization achieves its stated goals.

Key Features:

• Focus on Outcomes: The primary emphasis is on tangible results and measurable outcomes.

• Goal Specificity: Requires clearly defined and measurable goals.

• Objective Measurement: Relies on objective data to assess goal achievement.

Advantages:

• Simplicity: Easy to understand and implement.

• Measurable: Provides quantifiable metrics for evaluation.

• Accountability: Holds organizations accountable for achieving their stated objectives.

Disadvantages:

• Goal Ambiguity: Goals may be vague, conflicting, or unrealistic.

• Short-Term Focus: Can lead to a neglect of long-term sustainability and adaptability.

• Ignores Unintended Consequences: Fails to account for unintended negative outcomes.

• Static View: Doesn't consider the dynamic nature of organizations and their environments.

Example: A sales organization using this approach would measure effectiveness by the total sales revenue generated within a specific period.

Systems Resource Approach

The systems resource approach views an organization as an open system that acquires resources from its environment, transforms them into outputs, and returns them to the environment. Effectiveness is judged by the organization's ability to acquire and manage valuable resources.

Features:

• Resource Acquisition: Focuses on the organization's ability to obtain necessary resources.

• Resource Management: Emphasizes efficient and effective resource utilization.

• Adaptability: Considers the organization's ability to adapt to changes in the environment.

Advantages:

• Holistic View: Considers the organization as a whole system.

• Environmental Awareness: Recognizes the importance of the external environment.

• Adaptability Focus: Emphasizes the need for organizational flexibility.

Disadvantages:

• Difficult Measurement: Quantifying resource acquisition and management can be challenging.

• Subjectivity: Determining the value of resources can be subjective.

• Ignores Internal Processes: Pays less attention to internal processes and efficiency.

• Resource Dependency: Overemphasis on resource acquisition can lead to dependency on external entities.

Example: A university using this approach would measure effectiveness by its ability to attract high-quality students, faculty, and research funding.

Internal Process Approach

The internal process approach focuses on the internal efficiency, health, and functioning of the organization. Effectiveness is judged by the smoothness and efficiency of internal operations.

Key Features:

• Efficiency: Emphasizes minimizing waste and maximizing productivity.

• Internal Harmony: Focuses on creating a positive and collaborative work environment.

• Smooth Operations: Stresses the importance of streamlined processes and procedures.

Advantages:

• Focus on Efficiency: Promotes operational excellence.

• Employee Well-being: Considers the importance of employee satisfaction and morale.

• Process Improvement: Encourages continuous improvement of internal processes.

Disadvantages:

• Ignores External Environment: Pays less attention to the external environment and customer needs.

• Subjectivity: Measuring internal harmony and smooth operations can be subjective.

• Potential for Bureaucracy: Overemphasis on internal processes can lead to bureaucracy and inflexibility.

• Lack of Direct Link to Outcomes: Doesn't always directly translate to improved organizational performance.

Example: A manufacturing company using this approach would measure effectiveness by metrics such as production cycle time, defect rates, and employee turnover.

Stakeholder Approach

The stakeholder approach recognizes that organizations have multiple stakeholders with different interests and expectations. Effectiveness is judged by the extent to which the organization satisfies the needs and expectations of its key stakeholders.

Features:

• Multiple Stakeholders: Considers the interests of various stakeholders, including employees, customers, investors, suppliers, and the community.

• Stakeholder Satisfaction: Focuses on meeting the needs and expectations of key stakeholders.

• Balancing Interests: Emphasizes the importance of balancing the competing interests of different stakeholders.

Advantages:

• Comprehensive View: Considers the perspectives of multiple stakeholders.

• Ethical Considerations: Promotes ethical behavior and social responsibility.

• Long-Term Sustainability: Encourages a focus on long-term sustainability and stakeholder relationships.

Disadvantages:

• Conflicting Interests: Balancing the competing interests of different stakeholders can be challenging.

• Subjectivity: Determining stakeholder satisfaction can be subjective.

• Complexity: Managing multiple stakeholder relationships can be complex and time-consuming.

• Difficult Measurement: Quantifying stakeholder satisfaction and its impact on organizational performance can be difficult.

Example: A hospital using this approach would measure effectiveness by patient satisfaction scores, employee engagement levels, and community health outcomes.

Competing Values Framework

The Competing Values Framework (CVF) is a more comprehensive approach that integrates multiple dimensions of organizational effectiveness. It identifies four dominant value systems:

• Flexibility vs. Control: Reflects the organization's emphasis on adaptability versus stability.

• Internal vs. External Focus: Reflects the organization's orientation towards internal processes versus external environment.

These two dimensions create four quadrants, each representing a different type of organizational culture and effectiveness criteria:

• Clan (Collaboration): Emphasizes teamwork, participation, and employee development. Effectiveness is measured by employee satisfaction, commitment, and communication.

• Adhocracy (Creation): Emphasizes innovation, creativity, and adaptability. Effectiveness is measured by innovation, market share, and new product development.

• Market (Competition): Emphasizes results, efficiency, and competitiveness. Effectiveness is measured by profitability, market share, and goal achievement.

• Hierarchy (Control): Emphasizes control, efficiency, and stability. Effectiveness is measured by efficiency, reliability, and cost control.

Advantages:

• Comprehensive: Integrates multiple dimensions of organizational effectiveness.

• Contextual: Recognizes that different organizations may have different effectiveness criteria.

• Diagnostic: Provides a framework for diagnosing organizational strengths and weaknesses.

Disadvantages:

• Complexity: Can be complex to understand and implement.

• Subjectivity: Requires subjective assessment of organizational values and culture.

• Potential for Oversimplification: May oversimplify the complexities of organizational effectiveness.

Example: An organization using the CVF would assess its effectiveness by evaluating its performance across all four quadrants, considering its specific context and strategic goals.

OR

Q5. C) Write short notes on. (Any Three)            (15)

1. Business Process Reengineering.

Business Process Re-engineering is the practice of analyzing and radically redesigning core business processes to achieve major improvements in productivity, cycle times, and quality. Instead of making incremental changes, BPR challenges the current way of doing things and rebuilds processes from scratch if necessary.

It’s based on the idea that many business processes are outdated, full of bottlenecks, and no longer fit the needs of customers or modern technology.

Features

• Radical change, not small tweaks – It aims for breakthrough results.

• Customer-centric – Processes are redesigned with the customer in mind.

• Cross-functional – Focuses on the entire workflow, not just one department.

• Technology-driven – Often uses IT and automation to enable new processes.

• Performance-focused – Prioritizes speed, cost reduction, quality, and service.

Steps in BPR

1. Identify processes to re-engineer

   • Not all processes need radical change. Focus on the ones that impact customer satisfaction, cost, or competitiveness.

2. Understand and map current processes

   • Document how things are done today, including inputs, steps, decision points, and outputs. This shows inefficiencies and duplication.

3. Analyze weaknesses and set goals

   • Find pain points like delays, redundancies, excessive paperwork, or handoffs.

   • Set clear goals: faster turnaround, reduced costs, fewer errors, better customer experience.

4. Redesign the process

   • Question every step: “Why is this done? Can it be eliminated or automated?”

   • Use principles like:

     • Combine steps that add no value.

     • Empower employees with decision-making authority.

     • Use IT solutions (like ERP, workflow automation, AI).

     • Simplify approvals and reduce layers.

5. Implement changes

   • Roll out the redesigned process. This may require new systems, employee training, and restructuring.

6. Evaluate and improve continuously

   • Measure performance against goals. Adjust where needed.

4. Example

Insurance claim process (before BPR):

• A customer files a claim.

• The file moves between multiple clerks for verification, assessment, and approvals.

• It takes 2–3 weeks.

After BPR:

• Customer uploads documents online.

• AI-driven system pre-verifies documents.

• One claims officer can approve most claims within 24 hours.

• Only complex cases go for higher approval.

Benefits of BPR

BPR can offer significant benefits to organizations, including:

• Reduced Costs: By streamlining processes and eliminating redundancies, BPR can help organizations reduce costs.

• Improved Quality: By focusing on customer needs and eliminating errors, BPR can help organizations improve the quality of their products and services.

• Increased Speed: By automating and streamlining processes, BPR can help organizations increase the speed of their operations.

• Enhanced Customer Satisfaction: By delivering greater value to customers, BPR can help organizations enhance customer satisfaction.

• Improved Employee Morale: By empowering employees and giving them more responsibility, BPR can help organizations improve employee morale.

2. OD-HRD Interface.

• OD is the planned, long-term effort to improve an organization’s effectiveness through interventions in processes, culture, and structure.

• Focus: Change management, teamwork, leadership, communication, and organizational culture.

• Goal: Organization-wide improvement and adaptability.

• HRD is a function within HR that focuses on developing people’s knowledge, skills, and abilities.

• Includes: Training, career development, performance management, succession planning, and learning culture.

• Goal: Individual and group growth that contributes to organizational goals.

Characteristics of OD:

• Systemic Focus: OD considers the organization as a whole, recognizing the interdependence of its various parts.

• Planned Change: OD interventions are carefully planned and implemented based on a thorough diagnosis of organizational needs.

• Data-Driven: OD relies on data collection and analysis to identify problems, track progress, and evaluate outcomes.

• Participative: OD emphasizes the involvement of organizational members in the change process.

• Long-Term Perspective: OD aims for sustainable change that improves organizational effectiveness over the long term.

Characteristics of HRD:

• Individual Focus: HRD primarily focuses on the development of individual employees.

• Skill Enhancement: HRD aims to improve the skills and knowledge of employees to enhance their performance.

• Performance Improvement: HRD is designed to improve individual and organizational performance.

• Training and Development: HRD includes a wide range of training and development activities.

• Career Development: HRD supports employees in their career growth and development.

Examples of OD–HRD Interface

Example 1: Digital Transformation

• HRD: Trains employees in new software and data analytics.

• OD: Redesigns workflows and culture to adopt data-driven decision-making.

Example 2: Leadership Pipeline

• HRD: Runs a succession planning program and leadership training.

• OD: Ensures the organizational structure supports future leaders and reduces resistance to new leadership styles.

Example 3: Employee Retention

• HRD: Offers career development plans and skill-building opportunities.

• OD: Improves communication, reduces silos, and creates a supportive work culture.

3. Ethics in Organization development. 

Organization Development (OD) is a planned, systematic approach to improving organizational effectiveness. It involves applying behavioral science principles and practices to enhance an organization's capacity for change, improve its performance, and foster a more positive and productive work environment. OD interventions often focus on areas such as leadership development, team building, organizational culture, and change management.

Ethical Dimensions in OD

Ethics in OD can be looked at across three dimensions:

1. Individual ethics – How OD practitioners and leaders treat employees (e.g., honesty, respect, fairness).

2. Professional ethics – Standards that OD consultants and HR professionals follow (e.g., competence, confidentiality).

3. Organizational ethics – The broader value system of the company (e.g., fairness in policies, transparency in decisions).

Ethical Considerations in OD

Several key ethical considerations arise in the practice of OD:

• Informed Consent: OD practitioners must ensure that all stakeholders are fully informed about the nature, purpose, and potential consequences of OD interventions. Participation should be voluntary, and individuals should have the right to withdraw at any time.

• Confidentiality: Maintaining confidentiality is crucial for building trust and fostering open communication. OD practitioners must protect sensitive information shared by individuals and teams, and they should clearly define the limits of confidentiality at the outset of the engagement.

• Objectivity and Impartiality: OD practitioners must strive to remain objective and impartial in their assessments and recommendations. They should avoid conflicts of interest and biases that could compromise their judgment.

• Competence: OD practitioners should only undertake interventions for which they possess the necessary knowledge, skills, and experience. They should continuously seek to improve their competence through ongoing professional development.

• Use of Power: OD practitioners hold a position of power and influence within the organization. They must use this power responsibly and avoid exploiting or manipulating individuals for their own gain or the benefit of the organization.

• Data Integrity: OD interventions often involve collecting and analyzing data about individuals and the organization. Practitioners must ensure the accuracy and integrity of this data and use it responsibly and ethically.

• Respect for Diversity: OD practitioners must be sensitive to cultural differences and individual needs. They should strive to create inclusive and equitable interventions that respect the diversity of the workforce.

• Do No Harm: A fundamental ethical principle is to "do no harm." OD practitioners should carefully consider the potential negative consequences of their interventions and take steps to mitigate any risks.

Ethical Principles in OD

a) Respect for Human Dignity

• Every intervention must respect employees’ rights, values, and uniqueness.

• Employees should never feel exploited, manipulated, or disrespected during the change process.

b) Transparency and Honesty

• The purpose of OD initiatives should be clearly communicated.

• Employees must not be misled about outcomes, like “This is only a training program” when the hidden goal is restructuring.

c) Confidentiality

• Data collected through surveys, interviews, or 360-degree feedback must remain private.

• Results should be reported in aggregate, not in a way that identifies individuals without consent.

d) Fairness and Justice

• OD should ensure equal opportunities for growth and fair treatment across all groups.

• Decisions in promotions, restructuring, or team design must not reflect bias or discrimination.

e) Responsibility to Stakeholders

• OD should balance the needs of employees, management, shareholders, and customers.

• Profit or efficiency gains should not come at the expense of employee well-being.

f) Competence

• Practitioners should use tested methods and tools, and only in areas where they are qualified.

• Experimenting with unproven or inappropriate techniques in real organizations is unethical.

4. Organizational Effectiveness v/s Efficiency.

	Organizational Effectiveness	Organizational Efficiency
Definition	The ability to achieve strategic goals and desired outcomes.	The ability to achieve goals with minimal resources, time, and cost.
Focus	Doing the right things to create value and impact.	Doing things right by optimizing processes and reducing waste.
Measures	Success in market positioning, customer satisfaction, innovation, and adaptability.	Productivity, cost reduction, speed, and resource utilization.
Approach	Focuses on long-term strategic goals, innovation, and stakeholder value.	Focuses on streamlining processes, automation, and operational improvements.
Example	A company launching a unique product that meets market demand and builds brand loyalty.	A company improving its supply chain to reduce production costs and delivery times.

5. Organizational level Diagnosis.

Organizational-level diagnosis is a systematic process of collecting and analyzing data about an organization's structure, systems, culture, and processes to identify areas of strength and weakness. It aims to provide a comprehensive understanding of the organization's current state, enabling leaders to make informed decisions about interventions and improvements. Unlike individual or group-level diagnoses, this focuses on the entire organization as a single entity.

1. Clarify Purpose and Scope

Before starting, you define what you’re diagnosing and why.

• Is the organization struggling with growth, performance, or culture?

• Are you looking at the whole system or just specific functions (like sales, HR, or operations)?

This sets the boundaries so the analysis doesn’t get too scattered.

2. Gather Data

You need to collect both quantitative and qualitative information. Common methods include:

• Surveys: Employee satisfaction, engagement, or culture surveys.

• Interviews: One-on-one or group interviews with leadership and staff.

• Observation: Watching meetings, workflows, and how decisions actually get made.

• Documents/Records: Performance reports, financial data, policies, org charts, etc.

This mix helps you see both the “official” and the “real” way the organization works.

3. Analyze Key Dimensions

Here’s where frameworks are useful. A few examples:

Weisbord’s Six-Box Model

Looks at six areas:

1. Purpose: Are goals clear?

2. Structure: Does the design fit the purpose?

3. Relationships: How do people work across units and roles?

4. Rewards: Are people incentivized properly?

5. Leadership: Is it providing direction and support?

6. Supportive mechanisms: Do systems and processes help or hinder?

McKinsey 7S Framework

Seven interdependent factors:

• Strategy, Structure, Systems, Shared Values, Style, Staff, Skills.
  All need to align for the org to perform well.

Burke-Litwin Model

Emphasizes the impact of external environment, leadership, mission, culture, and how these drive performance and change.

4. Identify Strengths and Gaps

From the analysis, you highlight:

• What’s working well and should be preserved.

• Where there are misalignments (e.g., strong strategy but outdated structure).

• What’s missing entirely (e.g., no clear succession planning or innovation process).

5. Prioritize Issues

Not every issue can be tackled at once. You sort them into:

• Critical (must be addressed for survival or growth).

• Important (should be handled soon, but not urgent).

• Minor (good to fix, but not pressing).

6. Recommend and Plan Actions

The diagnosis isn’t just descriptive. It should lead to action. This involves:

• Suggesting specific changes (e.g., redesign structure, invest in training, update IT systems, redefine KPIs).

• Setting measurable goals.

• Outlining a realistic timeline and assigning ownership.

7. Feedback and Alignment

The findings are shared with leadership and often the broader organization. The way feedback is delivered matters—it should be clear, constructive, and create buy-in rather than defensiveness.

8. Continuous Review

An organization isn’t static. Diagnosis should be ongoing, not just a one-off. You build in mechanisms (dashboards, regular reviews, employee input) to keep checking alignment between strategy, structure, people, and environment.