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  1. 1. Organization Development <ul><li>Project Compiled by </li></ul><ul><li>Krupali Christian </li></ul><ul><li>Kinnari Raval </li></ul><ul><li>Ankita Sheth </li></ul><ul><li>Prachi Pandit </li></ul><ul><li>Ambika Mudaliar </li></ul><ul><li>Ruta Trivedi </li></ul><ul><li>Ronak Hadial </li></ul>
  2. 2. Change <ul><li>The world keeps on changing, Everything needs change in this world. There are many types of changes : </li></ul><ul><li>Significant Change </li></ul><ul><li>Casual Change </li></ul><ul><li>General Change </li></ul><ul><li>Natural change </li></ul><ul><li>Personal Change </li></ul><ul><li>Planned Change </li></ul>
  3. 3. The Change Mantra <ul><li>The Nine Commandments For effectively managing change: </li></ul><ul><li>Effective change needs active senior management support </li></ul><ul><li>Change is a Multi-disciplinary activity </li></ul><ul><li>Change is about people- keep it pure and simple </li></ul><ul><li>Change is success </li></ul><ul><li>Change is a perceptual process </li></ul><ul><li>Effective change needs competent change agents </li></ul><ul><li>There is no particular way to change. </li></ul><ul><li>Change is about Ownership. </li></ul><ul><li>Change is about Challenges and Opportunity </li></ul>
  4. 4. Specific Types of Organizational Change <ul><li>Transformational Change </li></ul><ul><li>Transactional Change </li></ul>
  5. 5. Transformational Change <ul><li>What is Transformational change? </li></ul><ul><li>Transformational change is radical in nature, It requires shift in assumptions made by the organizations and its members. </li></ul><ul><li>“ Business” transformation is quickly achieved principle change in value creation that ensures long term advantages in market. </li></ul><ul><li>This change is concerned with changing the current business model and includes creation of new ways to fulfill order, create products, services, customers etc. </li></ul>
  6. 6. <ul><li>Transformational change in organization inspires employees to transcend there own perceptions for the good of the organization focused on the Strategic mission, Goals and Vision </li></ul><ul><li>Transformational change transforms and causes the permanent change in the organization culture which produces change in individual and organizational performance. </li></ul><ul><li>So, in this way the transformational change takes place in any organization . </li></ul>Transformational Change
  7. 7. Aspects of Transformational change <ul><li>Quickly achieved : </li></ul><ul><li>As soon as change program is completed or, during the change program there is influence of this change process on everyday operations, market share and profitability. So Goals are achieved quickly </li></ul><ul><li>Value creations : </li></ul><ul><li>Initial objective of the initiative is to change the market offering. During the program new value propositions, which could maximize customer satisfaction are developed with this intension, all value creation systems in the company including its business model, process and supporting systems are reconsidered and optimized. </li></ul>
  8. 8. Aspects of Transformational change <ul><li>Value Propositions : </li></ul><ul><li>In any organization during Business transformation, the current value proposition probably does not fulfill market requirement. So one of the important tasks to be accomplished is to develop new and substantially better ways to create “value” it can be done by associated thinking, insight, creativity, and vision. </li></ul><ul><li>Joint effort : </li></ul><ul><li>In any organization when a transformational change takes place, it is not the effort or work to be done by a single person. To bring a change all the members of an organization have to work jointly . </li></ul>
  9. 9. Transactional change <ul><li>Transactional change is when we can go backwards and forwards, with transactions and agreements that have limited life term and where it is easy to revert. </li></ul><ul><li>In this type of change the features of organizations change but fundamental nature of the organization remains the same. </li></ul><ul><li>Transactional change in organization guides and motivates its employee in the direction of established goals by clarifying role and task requirement. </li></ul>
  10. 10. Transactional change <ul><li>This change in an organization takes place to achieve a short term goal or a goal which just need a routine change to achieve it. </li></ul><ul><li>Structured shifts or programs that are an ongoing phenomenon within an organization. These changes may be undertaken to avoid deterioration of current performance of a process of system, in this scene they are controlled and managed within the organization in an orderly, planned and systematic way. </li></ul><ul><li>All the personal transactions occur inside the organization and mean that at any moment in time, the look, feel and focus of the organization is different than it was last year or last month or even yesterday. </li></ul>
  11. 11. Transactional change <ul><li>Transactional change changes motivation which turn changes individual and organizational performance. </li></ul><ul><li>First order changes are behavioral shifts, or shift in role or task achievement. </li></ul><ul><li>Transactional changes can be of any type like change in technology, managerial level, production cycle, change role & nature of work policy. </li></ul>
  12. 12. Aspect of Transactional Change <ul><li>Transactional change is not permanent change: </li></ul><ul><li>It is a temporary or in other words a periodical change in an organization. If this normal temporary change is beneficial and effective then only it is planned and decided to turn the temporary change into permanent change in future. </li></ul><ul><li>It is not redesigning the whole organization : </li></ul><ul><li>It is the small or temporary change in a particulars domain of in management hierarchy or shift or minor changes in policy of organization or just a change in nature of work of an employees. </li></ul>
  13. 13. Aspect of Transactional Change <ul><li>Change in culture and environment of organization : </li></ul><ul><li>Due to traditional change there is a change in culture and environment of the organization. It happens that many a times due to transactional changes the environment of the organization becomes more healthy and effective in which employee feels comfortable, pleasant and work with less stress & pressure . </li></ul><ul><li>Change in roles and responsibilities : : </li></ul><ul><li>This change results into change in role and responsibilities of individual in organization. </li></ul><ul><li>Transactional change and performance : : </li></ul><ul><li>Many a times it happened that due to transactional change in organization there was a change in the performance level of the employee. Many a times due to transactional change there is increase in the performance and it also happens vise-versa, that performance level also decreases, </li></ul>
  14. 14. Aspect of Transactional Change <ul><li>if the employees are not comfortable with the change. </li></ul><ul><li>Positivity and negativity of transactional change: </li></ul><ul><li>Only the properly taken steps will bring positive effect otherwise might affect adversely too. </li></ul><ul><li>Evaluation planning: </li></ul><ul><li>Before planning a new change or work in any organization review and audit previous ones. Which ones went well? Which caused problem, are you and your colleagues still occurring unfinished business from previous changes? Reach new changes is an opportunity. To make a fresh start and some times to resolve old issues. </li></ul>
  15. 15. Benefits and Risks of These Program’s Implementation <ul><li>In business transformational and transactional changes’ allow achieving business improvement goals, but the implementation of such programs contains numerous risks also. </li></ul><ul><li>Benefits </li></ul><ul><li>Both changes develop core competence and optimized business model which better satisfies customer requirement.. During the change process the value presented for the customers are completely redesigned. </li></ul>
  16. 16. Benefits and Risks of These Program’s Implementation <ul><li>These change strengthen organizations competitive position in the market, by creating a value proposition, new reflected business model and satisfaction to the customer. </li></ul><ul><li>Such changes have strong profit potentiality. If these business changes are implemented successfully it can create pre-conditions for profit which is a major business goal. </li></ul><ul><li> RISKS </li></ul><ul><li>Despite of various benefits of both changes, these changes also faces many challenges and risks and have a moderate probability of failure. </li></ul>
  17. 17. Benefits and Risks of These Program’s Implementation <ul><li>There is redesigning of value proposition, so it is hard to plan and manage. </li></ul><ul><li>During this process, there are also some major and minor changes in the company’s system, both real and virtual, human & technological. </li></ul><ul><li>Due to redesigned company’s systems there are large-scale changes in various domains of the organizations. So it is difficult to manage such changes in any domain. </li></ul>
  18. 18. Benefits and Risks of These Program’s Implementation <ul><li>The biggest risk connected with all the changes is the cultural change in the organization. It is hard for employee to get adjusted in the new culture. </li></ul><ul><li>During the time of any crises in the organization, the ultimate solution to overcome such crises is transformational change. At that time it is a challenge for an organization to have professional project managers & team member who can effectively handle such changes for successfully achieving desire outcome on time . </li></ul>
  19. 19. Some of the common transformational and transactional change in the industries <ul><li>The manufacturing companies also started service sectors. </li></ul><ul><li>The decline of “traditional” full-time employment and rise of part-time and non-standard forms of employment. </li></ul><ul><li>If we talk about government sector, the contract system, temporary system is introduced. </li></ul><ul><li>The investors or big plants were setup not only in big cities but also in rural areas and small villages. </li></ul><ul><li>The reduction in the relative size of the public sector- partly through privatization. </li></ul>
  20. 20. Some of the common transformational and transactional change in the industries <ul><li>Ratio of female employees has been increased. </li></ul><ul><li>Changes in machinery are brought to make machine operating and usage system easy and quick. </li></ul><ul><li>Now a days organizations are emphasizing equally on employees benefits also by providing them all the possible facilities and leisure. </li></ul><ul><li>Instead of a single major hierarchy in an organization, multi-hierarchy system is introduced to reduce the burden on a single group of people. </li></ul><ul><li>Now a days certain facilities, incentives, appraisal policies are introduced in most of the organization to encourage and motivate the employee for his/her performance. </li></ul>
  21. 21. Conclusion <ul><li>For organization to develop. They often must undergo significant change at various points in their development. That is why the topic of organizational change and development has become widespread in communication about business, organizations, leadership and management. </li></ul><ul><li>So, the word “change” have huge business impact. When ignored or mishandled, it can cause disruption, confusion and frustration. But when well managed, change can lift organizations to new levels and increase workforce performance. </li></ul>
  22. 22. Thank you