Organizational development is a planned and systematic change in employee values or operations to create overall growth in a company or organization. It differs from daily operations and workflow improvements in that it follows a specific protocol that management clearly communicates to all employees. Organizational development is essentially a systematic approach to driving business performance. It considers elements such as culture, capacity, values, relationships, and adopts an ecosystem approach to understanding them, how they influence behavior and performance, according to the CIPD.
Ensuring that leaders actively support and promote organizational development efforts is key to their success. Organizational development is an interdisciplinary field of behavioral science research that exists to improve people's workplaces. Having stellar organizational development initiatives can take your company to new areas and heights. But what exactly is it? In this comprehensive guide, we'll explore the fundamentals of organizational development, its objectives, examples of OD, and the OD process.
Organizational development initiatives are designed to help businesses achieve their goals by improving their internal processes. These initiatives can include anything from training programs to team-building activities. Demonstrating the return on investment (ROI) of organizational development initiatives can be a challenge, as the benefits may not be immediately tangible or quantifiable. There's a high chance that you're already investing in organizational development without a long-term strategy.
A labor diagnostic survey (JDS) is part of the work design, an intervention for organizational development (image based on Cummings & Worley, 200). The process of designing and implementing organizational development strategies is structured in the following five phases. Organizational development certifications are available from various organizations such as the Skill-Oriented Organizational Development Institute (ODCP) Certification Program, the Illumeo Organizational Development certification program, and the Organizational Development certification program from the Tata Institute of Social Sciences. Therefore, rely on your knowledge and skills to stay on the path of change for the betterment of your organization.
Organizational development is a fundamental, science-based process that helps organizations develop their capacity to change and achieve greater effectiveness by developing, improving, and reinforcing strategies, structures, and processes. By addressing current inefficiencies, streamlining processes, and aligning organizational goals and objectives, organizational development interventions can improve efficiency, productivity, and profitability. But it was only given the identity of the “change process” when scientists, organizational psychologists, and business-minded academics began to investigate and formalize it. Organizational development focuses on creating a flexible and agile company that can effectively respond to evolving challenges and opportunities, ensuring long-term competitiveness.
Organizational development initiatives often require significant investment in terms of time, money, and human resources.