WORKING METHODS OF THE CABINET v All decisions taken collectively about 10.000year v Formal meetings

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18 M IN MOLDOVA PROJECT Module 4 Organisational
Development Management of Change
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The problem

• The difference between the current actual state
  of affairs and the desired future state of affairs

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Different types of change

• Unplanned change
• Planned change
• Imposed change
• Closed problems
• Open ended problems

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Possible consequences of change
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Three phases of organisational change

1.       Entrepreneurial/beginning
phase 2.       Growth phase 3.       Renewal or
decline phase
 
3.
2.
1.
Time, energy and resources
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Four rooms of change
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Awareness of needs
Articulating and analysing needs
Recognising needs
Emerging needs
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Equation of change

• C V x D x Co x Fs gt Cost

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Readiness for change

• Job readiness

Unable
Able
Willing
Psychological readiness
Unwilling
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Organisational culture

• The intellectual reflexes and habits of mind
  that are shared by groups of people
• The sum total of all the shared assumptions,
  taken for granted, that a group has learned
  throughout its history.
• The system of beliefs, values, attitudes,
  loyalties, working practices and expectations
  that are present throughout the organisation,
  which affect all of those working within it and
  pervade policies, procedures, employee practices
  and outcomes
• Common values, norms and beleifs that have
  developed throughout the history of the
  organisation

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A culture that promotes change 1

• Openness
• Consultation with citizens/clients
• Receptiveness open to scrutiny, feedback and
  challenge
• Mutuality with partners - interdependence

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A culture that promotes change 2

• Aspiration
• Result focus reflect public aspirations
• Unanimity a common sense of purpose
• Confidence people in the organisation are
  confident in their ability to achieve results
  targeted

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A culture that promotes change 3

• Leadership
• Inspiration people have faith in their leaders
  and the vision they articulate
• Practicality people rely on their leaders and
  their priorities and their ability to mobilise
  necessary practical measures
• Integrity leaders listen and act in a way that
  promotes trust, fairness and equality. They walk
  their talk

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A culture that promotes change 4

• Organisation
• Appropriateness systems and procedures reflect
  the values of the organisation
• Utility people find systems and procedures
  useful. Continuous improvement
• Diversity organisation is open, flexible and
  responsive to new demands and improvements

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A culture that promotes change 5

• Empowerment
• Commitment by everybody to organisational goals
• Learning staff encouraged and supported in
  gaining awareness, knowledge and skills
• Latitude Staff empowered to use
  discretion,creativity and innovation to achieve
  outcomes

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A culture that promotes change 6

• Achievement
• Outcomes public can see clearly the difference
  the organisation makes to their lives
• Excellence the organisation compares to the
  best
• Reputation have a good reputation among public
  partners for their contributions to clients

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OD approach to culture

• Assessment of the present culture
• Understanding the culture
• Strategy to change
• A set of interventions

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Understanding the culture

• History
• Beleifs and assumptions
• Values and norms
• Vision and goals
• Strategies
• Structure

• How work is organised
• Management/leadership
• Personnel policy
• The people
• Available technology
• Purpose
• Climate

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Culture change strategy

• Unfreezing understand the consequences of the
  current state of the organisation
• Moving making changes that will have an impact
  on the culture
• Refreezing institutionalising the change

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Unfreezing

• Future Scape
• Separate teams work with issues e.g.
• What changes do you anticipate next 5 years?
• Who are the actors?
• What are the trends?
• Organisational challenges
• Five moments of truth (cases)?
• Staff developing solutions

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Move techniques

• Strategy alignment
• Based on common understanding of mission and
  vision
• Goals
• Structure
• Business processes
• Management/leadership
• Reward system
• Competence
• Performance management

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Re-freezing

• Managers must
• Act as role models
• Making mission and vision alive
• Move from reactive to proactive and integrate
  external agendas to org.objectives
• Perform as cultural icons
• Act with integrity and care. Model the values

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Purpose of learning

• Learning is about how we change and become
  different.
• To learn is to develop (hopefully for the better)?

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Learning definition 1

• An act of gaining knowledge and/or skills and/or
  attitudes of something

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Learning definition 2

• Any change in behaviour or attitude that occurs
  as a direct or indirect result of experience,
  practice, training or study

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Process of learning
Unconscious competence
Conscious competence
Conscious incompetence
Unconscious incompetence
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How do organisations learn?1

• Through experiences
• Implementing new procedures
• Analysing and concluding from results
• Improving
• Institutionalisation

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How do organisations learn? 2

• Learning from others
• Study
• Plan
• Implement
• Analyse and conclude from results
• Institutionalise

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Organisational memory

• Memory of individuals
• Admin processes and procedures
• Culture e.g. symbols, values, norms, stories
• Structured roles that people perform
• Physical structure e.g closed or open doors
• Documents
• External memory e.g. ex-employees, government
  bodies etc

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Culture and learning is interdependent

• The rate of learning is dependant on the culture
• The culture is dependant on the rate of learning

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Seeing the task as part of a process

• What does the client want out of my task?
• What is included in my task? How do I understand
  them?
• What knowledge and skills does it require?
• What is my present competence compared to
  required?
• What competence do I need to acquire?
• How do I best acquire outstanding competence?

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Learning organisation

• A Learning Organization is one in which people
  at all levels, individually and collectively, are
  continually increasing their capacity to produce
  results they really care about.
• (Richard Karash) 
• A Learning Organization is one that facilitates
  the learning of all its members, and consciously
  transforms itself and its context.
• (Pedler, Burgoyne Boydell)?

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The LO systems model
Technology
Organisation
Learning
Knowledge
People
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Learning

• Personal mastery
• Sharing mental models
• Shared vision
• Team learning
• Systems thinking

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The organisation

• Culture of learning is essential
• Vision indicates a future where staff learns to
  create even better goods and services
• Strategy guides the improved collection, transfer
  and use of knowledge
• Structure is flat without boundaries. Fosters
  contact, information flow, local responsibility
  and collaboration

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The people

• Employees who plan for future competencies, take
  action and risks
• Managers who coach and mentor their employees,
  modelling good learning behaviour
• Citizens who are empowered to identify and voice
  their needs
• Suppliers who learn from the organisation what
  services and products and quality that is
  required
• Community that receives knowledge from and
  provides knowledge to the LO

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Knowledge

• Collection internally and externally
• Creation through insight, problem solving and
  experience
• Storage sot that it is accessible for all staff
• Transfer mechanically,electronically and
  interpersonally
• Use relevant information and knowledge

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Technology 1

• Intranet enabling rapid internal communication
• Widespread access to e-mail and internet for
  external communication
• Technical support
• Relevant updated databases
• Physical and virtual information resource centres

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Technology 2

• Information and communication management
  processes, policies and staff
• Technology for presentation but also traditional
  technology e.g. telephones, faxes, filing systems
  and archives
• Computer based financial management and
  information system

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Benefits of a LO

• Increased capability to cope with change
• Improved quality of services
• Productivity
• Responsiveness to clients needs
• Goal congruence
• Integrated culture
• Organisational self-renewal
• Organisation empowerment

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Success factors for a LO

• Participation and commitment
• Development of a creative organisational culture
  and working climate
• Capacity to make use of learning and innovative
  thinking throughout the organisation
• Sustained patience and long-term thinking

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Action learning
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Possible pitfalls in organisational change

• Change plans not based on adequate diagnosis
• Change process too weak to reach objectives
• Management dont lead by example
• Management dependent on consultants that give
  them inaccurate advise
• Restructuring by retrenchment of people often
  does harm to the human side of the organisation

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Role of the change leader

• Visionary
• Risk-taker
• Learner
• Coach
• Collaborator
• Change facilitator
• Chairperson/facilitator/team leader

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A THEORETICAL OVERVIEW - A
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A THEORETICAL OVERVIEW - B
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SYSTEM THEORY AND OD - A THEORETICAL OVERVIEW



Political Factors
Economic Factors

• THE
• ORGANISATION

Outcomes
Inputs
Outputs
Processes
Social Factors
Technological Factors
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SYSTEMS THEORY

• A set of objects together with relationships
  between the objects and between their
  attributes
• A set of elements standing in interaction
• An organised, unitary whole composed of two or
  more interdependent parts, components, or
  subsystems and delineated by identifiable
  boundaries from its environmental suprasystem
• A system is an arrangement of interrelated
  parts
• Begins by identifying the individual parts and
  then seeks to understand the nature of their
  collective interaction.

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ORGANISATIONS AS OPEN SYSTEMS

• All open systems are input-throughput-output
  mechanisms
• Every system has a boundary that separates it
  from its environment
• Open systems have purposes and goals, the reasons
  for their existence
• A system is an arrangement of interrelated
  parts
• Systems require two kinds of feedback, negative
  and positive

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ORGANISATIONS AS OPEN SYSTEMS

• The thesis of STS is that all organisations are
  comprised of two interdependent systems, a
  social system and a technical system and that
  changes in one system produce effects in the
  other system
• OSP entails scanning the environment to determine
  the demands and expectations of external
  organisations and stakeholder developing
  scenarios of possible futures of the organisation
  

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SYSTEMS THEORY PERVADES ALL OF THE THEORY AND
PRACTICE OF ORGANISATION DEVELOPMENT

• Issues, events, forces and incidents are seen in
  relation to other issues, events and forces
• Encourages analysis of events in terms of
  multiple causation
• One cannot change one part of a system without
  influencing other parts in some ways
• The forces in the field at the time of the event
  are the relevant forces for analysis
• if one wants to change a system, one changes the
  system, not just its component parts

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ORGANISATIONAL ANALYSIS
Transformation Process Employed by The
organisation
Outputs
Inputs
Environment Resources History
Organisational Performance Goal
Achievement Resource Utilization Adaptation Group
Performance Individual Behaviour And affect
Strategy
Feedback
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8 PREREQUISITES AND SIGNIFICANT CHARACTERISTICS
OF THE OD APPROACH TO CHANGE

• It emphasises with a particular focus on
  processes.
• It comprises Organisational Learning as means of
  improving an organisations capacity to change.
• It deals with change over a medium to long term.
• It involves the organisation as a whole and
  develops teams
• It is participative.
• It has top-management support and involvement.
• It involves a facilitator who takes on the role
  of a change agent.
• It concentrates on planned change

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1. OD AND PROCESS

• DESCRIBED AS THE HOW
• how we go about things
• how we conduct for example changes
• how we mature
• how we deal with various situations
• how a group of staff for example is adapting to a
  new situation

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2. OD ORGANISATIONAL LEARNING

• The continuous testing of experience and the
  transformation of that experience into knowledge
• Accessible to the whole organisation and relevant
  to its core purpose
• QUESTIONS TO ASK
• Do you continuously test your experience?
• Are you producing knowledge?
• Is the knowledge shared?
• Is the learning relevant
• Can people make use of it?

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3. OD MEDIUM TO LONG TERM CHANGE

• Intervention that includes the whole
  organisation
• Brings upon significant change
• Long term in the sense that it is continuously
  it is a never ending cycle.

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4. OD THE ORGANISATION AS A WHOLE AND TEAMS

• Involving the whole system, the organisation as a
  whole
• Effective teams that learn and continuously
  improve their
• Focusing on improving the organisations ability
  to assess and to solve its own problems
• A team is a limited number of people working
  together to achieve common objectives

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OD THE ORGANISATION AS A WHOLE AND TEAMS - B

• Different team members usually have different
  experiences and skills
• Collective learning is essential for team
  effectiveness in problem solving and dealing with
  unexpected situations
• Synergy effect - the quality and quantity of work
  is far greater than the sum of the work that the
  individuals could produce on their own

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OD THE ORGANISATION AS A WHOLE AND TEAMS - C
The result of all group and teamwork is affected
by the interaction of

• Tasks Requirements - People work in
  organisations and teams to achieve results
• Individual Needs - The extent to which an
  individual are motivated and feel that their
  needs are recognized and fulfilled
• Group Dynamic - A group is an entity in its own
  right and has a life of its own

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HIGH PERFORMING TEAMS

• Improve productivity, as the purpose is shared,
  energy is focused, objectives are clear and
  outcomes agreed
• Respond fast
• Are more flexible and able to adapt to change
• Enhance problem solving, innovation and
  creativity
• Communicate well, internally and externally

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5. OD PARTICIPATION

• To empower is to give someone power
• Participation is an effective form of empowerment
  
• Participation enhances empowerment and
  empowerment in turn enhances performance and
  individual well-being
• OD interventions are deliberately designed to
  increase involvement and participation by
  organisational leaders and members
• Rules of thumb - Involve all those who are part
  of the problem or part of the solution and have
  decisions made by those who are closest to the
  problem

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6. OD TOP-MANAGEMENT SUPPORT - A

• Giving individuals space for learning and
  responsible experimentation
• Providing opportunities for a free exchange of
  ideas both inside and outside the organisation
• Explaining the strategic context of work, work
  processes and plans
• Seeking and passing on comments on strategies in
  relation to implementation experience
• Facilitating participation while ensuring
  decisiveness
• Creating a climate where existing work methods
  can be challenged and changed in a co-ordinated
  manner
• Allowing mistakes

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6. OD TOP-MANAGEMENT SUPPORT - B

• Enabling sharing of learning by encouraging
  learning through enquiry and constructive
  criticism, even across professional and
  departmental borders
• Encouraging questioning and open-mined listening
  to ideas
• Making data on performance, quality, client
  satisfaction, etc. available to everyone so they
  can make informed decisions and take
  responsibility
• Encouraging a solve and learn rather than a
  blame and punish approach to problems
• Personally and visibly modelling a learning
  attitude and approach
• Adopting a supportive management style, which
  facilitates decision making at all levels

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7. OD FACILITATION

• Neutral and objective
• To guide a group towards a specific goal
• Make way for learning and help the
  group/participants to learn, chare knowledge,
  explore alternatives and perhaps reach into
  conclusions.
• Work on two separate and parallel levels the
  process level and content level
• Create a safe and trustworthy climate

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THE FACILITATOR - A

• The facilitator focuses on learning, instead of
  teaching.
• All facilitation should be quality oriented,
  instead of the quantity.
• The facilitator approach is with open questions,
  instead of closed questions.
• The facilitator support and conduct dialogue,
  instead of a monolog.
• The facilitator makes way for interaction between
  individual/individual/group/facilitator, instead
  of individual/facilitator.

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THE FACILITATOR - B

• The facilitator works in an era of participation,
  instead of lecturing.
• The facilitator facilitates self-managing,
  instead of top-managing.
• The facilitator will focus on the task and the
  process, instead of the task only.
• The facilitator should look for new dimensions,
  instead of the right answers

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8. OD PLANNED CHANGE AN AACTION-RESEARCH
BASED MODEL OF CHANGE

• Change is a continuous process of confrontation,
  identification, evaluation and action
• It is an action-research model
• Collecting data, feeding back the result,
  formulate an action plan and finally, taking the
  necessary action
• It is an iterative or cyclical process which is
  continuous

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THE OD ACTION-RESEARCH MODEL OF CHANGE

• THE COMPONENTS OF THE MODEL
• Diagnosis
• Data gathering
• Feedback to the client group
• Data discussion
• Action planning
• Action

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THE OD ACTION-RESEARCH MODEL OF CHANGE

• Compare the following three different types of
  change
• Unplanned Change It could be characterized as
  reactive or natural. The organisation is
  behaving as a boat on the sea without a tiller.
  This is what we want to minimise but never can
  avoid.
• Planned Change This type of change is
  characterized by pro-active behaviour-. We try
  to create the future. This is what we strive
  for and can achieve to some degree.
• Imposed Change The behaviour of the
  organisation is reactive. Forces outside, in the
  environment, impose changes. This is what we
  will be victims of if we are unsuccessful in
  being proactive.

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ASSIGNMENT I

• Make an organisational analysis of the Public
  Administration of Moldova using the IOM model
  (See the Trainers Guide for an explanation)?

ASSIGNMENT II

• Belbins Self-perception Inventory
  Team Self-perception test

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PHASES OF OD

• An organisational assessment
• A vision statement
• A gap analysis
• A vision for change
• Action Planning
• Implementation
• Assess and reinforcement of change/Monitoring and
  Evaluation

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PHASES OF OD

• What are we?
• What do we want to become?
• How do we fill the gap between what we are and
  what we want/need to be?
• What do we do in order to fill the gap between
  what we are and what we need/want to be?
• What will be done?
• Who will do it?
• When will we do it?
• Who are we here for?

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PHASES OF OD, STEP 1A

• THE PRESENT AND THE FUTURE
• (Organisational assessment and Vision Statement)?
• Diagnose current situation outside and inside
  the organisation at an individual, group and
  organisational level (Organisational
  assessment).
• The data gathered should capture and include
  those things which form barriers to
  organisational performance as well as those
  which contribute to organisational success.
• Example of methods and tools to use is SWOT and
  PEST

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PHASES OF OD, STEP 1B

• Develop a vision for the future (Vision
  Statement).
• What do we want to be? In lets say, 5 years
  from now, how do I want my organisation to look?

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PHASES OF OD, STEP 2

• Make a Gap-analysis using the information from
  the organisational analysis and the vision
  statement. We now know what we are and what we
  would like to be

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PHASES OF OD, STEP 3

• DEVELOP A VISION FOR CHANGE
• This stage processes the feedback from the
  previous stages.
• The process of gaining commitment to change is
  fundamental.
• The action-research cycle of collecting and
  analysing data and feeding back the results
  should be maintained here, as in the previous
  stages. There must be an emotional readiness for
  change, which is based on developed commitment
  to the change in question.

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PHASES OF OD, STEP 4 - A

• DEVELOP AN IMPLEMENTATION/ACTION PLAN
• The process of developing an action plan for
  change should be done through consultation and
  collaboration with those who will implement the
  change, thus reinforcing the change.
• IT IS IMPORTANT THAT THE ACTION PLAN WILL BE
• Relevant Activities are clearly linked to the
  change goals and priorities
• Specific Activities are clearly identified
  rather than broadly generalised
• Chronological There is a logical sequence of
  events
• Adaptable There are contingency plans for
  adjusting to unexpected forces

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PHASES OF OD, STEP 4 - B

• THE FOLLOWING ORGANISATIONAL SUBSYSTEMS TO BE
  INCLUDED
• Top management
• Management-ready systems those groups or units
  known to be ready for Change
• Hurting systems a special class of ready
  systems n which current conditions have created
  acute discomfort
• New teams or systems units without a history and
  whose tasks require a departure from old ways of
  operating
• Staffs subsystems that will be required to
  assist in the implementation of later
  interventions
• Temporary project systems ad hoc systems whose
  existence and tenure are specifically defined by
  the change plan

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PHASES OF OD, STEP 4 - C

• THE IMPLEMENTATION PLAN NEEDS TO ANSWER
• who will do what, how, in what way and when?
• THE IMPLEMENTATION PLAN NEEDS TO HAVE SUB PLANS
• Resource Plan Budget
• Information Plan
• Time Plan
• Risk Analysis

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PHASES OF OD, STEP 5 - A

• ASSESS AND REINFORCE THE CHANGE/MONITOR AND
  EVALUATION
• Need to be pre-planned
• What to assess, when and in what way
• What to reinforce, monitor and evaluate
• Evaluate notion, results and effects

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PHASES OF OD, STEP 5 - B

• EXAMPLES OF METHODS TO BE USED
• A survey or cultural audit
• A Performance Audit
• Interviews with individuals and groups, internal
  and external
• An examination of turnover and absenteeism
• Comparative analysis of group performance in
  terms of task achievements and leader
  performance
• Measure results

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PHASES OF OD DANGERS AND RISKS

• Failure to carry it through insufficiently far
• Failure to institutionalise
• Failure of recognising and rewarding desirable
  behaviours and attitudes
• Failure recognise sub goals on the way or
  short-term wins
• Lack of Staff training in regards of the
  development needs
• Lack of management support

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WHAT MAKES OD WORK NOT WORK? - A

• HINDERS AND OBSTACLES
• Organisations and their members resist change
• Approximately 90 of all change projects never
  gets implemented
• Change fatigue
• Business as usual
• External environmental change, such as change of
  Government, decision to close down the
  organisation
• Changing of the CEO or any other major change

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WHAT MAKES OD WORK NOT WORK? - B

• CRUCIAL FACTOR, ESPECIALLY WITHIN THE PUBLIC
  SECTOR, FOR MAKING OD WORK
• Common goals
• Committed management
• Employee participation
• Holistic view
• Understanding, why change
• Understanding, what should change?
• Knowledge, how should it change?
• Ability, OD and change in practise

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ASSIGNMENT V

• Develop a Vision Statement for the Public
  Administration of Moldova

ASSIGNMENT VI

• Develop a Gap Analysis

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OD TOOLS, TECHNIQUE AND METHODS FOR
ORGANISATIONAL CHANGE - A

• ACTION AND IMPLEMENTATION PLANNING
• At this stage we have done the Organisational
  analysis, the Vision statement and the Gap
  analysis. From these plans we should now be able
  to identify what needs to be done. The Action
  Plan will pin point the activities (what shall
  be done), how shall it be done and who will do
  it.
• Use the 5 Ws to help develop the plan
• What shall we do?
• When shall we do it?
• hoW shall we do it?
• Where shall we do it (different arenas)?
• Who is doing what?

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OD TOOLS, TECHNIQUE AND METHODS FOR
ORGANISATIONAL CHANGE - B

• THE FOLLOWING PRACTICAL STEPS SHOULD BE
  CONSIDERED
• Identify the activities
• Plan the starting and completion dates
• Estimate the duration of each activity
• Prepare the schedule (Gantt Chart can be drawn)
• Modify the schedule as necessary
• Distribute the schedule to all team members

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WORK BREAKDOWN STRUCTURE ALLOCATION OF TASKS
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OD TOOLS, TECHNIQUE AND METHODS FOR
ORGANISATIONAL CHANGE - C
1 Very unlikely 1 Surmountable 5 very
likely 5 Catastrophic SCORE Likelihood x
Consequence
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OD TOOLS, TECHNIQUE AND METHODS FOR
ORGANISATIONAL CHANGE - D

• EVALUATION
• It is important to decide beforehand what is to
  be evaluated as for example, opinions, results
  or effects. Evaluation looks at the attainment
  of goals and objectives and the impact. The
  evaluation could also
• Suggest solutions to problems identified in
  project implementation and operations.
• Compare of the project objectives with the
  projects actual results achieved.
• Account for specific actions and their
  consequences.
• Serve as an ongoing process of monitoring

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ASSIGNMENT VII

• Develop a plan for Implementation

ASSIGNMENT VII

• Develop a plan for Assessment and reinforcement
  (Risk Plan)?

ASSIGNMENT IX

• Develop a plan for Monitoring and Evaluation