Organizational Change and Development

Name : Radisty Sabila Noveira Student ID : 6020210129 Class : C Courses : Industrial Organizational Psychology Lecturer : Mr. Seta Wicaksana,M.Si,Psi 13th Meeting Assignment Organizational Change and Development A). Organizational Change I. Definition According to Ronald E. Roggio (2017), “Organizational change is a variation of the established ways, which have been taking place in the organization and are used and adhered to by members of the organization in carrying out their activities and are different from what has been and has been happens in the organization According to Angelo Kiniki (2018), "Organizational change can simply be interpreted as a discussion of why, when, and how organizations make changes" According to Michael G. Aamodt (2016), “Organizational Change is a process by which the organization moves from its current state to its desired future in order to increase its organizational effectiveness” Base on that statement, I can conclude that, "Organizational change is a process of change that occurs inside or outside the organization, at the individual/group level that occurs gradually and continues with the aim of advancing and developing the organization" II. Organizational change factors According to Angelo Kiniki (2018), the factors for organizational change are divided into 2 : 1. Internal factors Are all the factors that exist in the organization where these factors can affect the organization and organizational activities. The process of cooperation that takes place within the organization is also sometimes the cause of change. Problems that arise can involve problems with the cooperation system and can also involve equipment or equipment used. The cooperation system that is too bureaucratic or vice versa can cause an organization to be inefficient is the cause of changes that come from within the organization concerned which can affect the organization and organizational activities. Examples of Internal Factors Changes in environmental policies, Changes in goals, Expansion of the operating area of ​​​​the objectives, Volume of activities increase and Attitudes and behavior of organizational members 2. External factors Is the cause of change that comes from outside (or often called the environment) of the organization that can affect the organization and its activities. Organizations are responsive to changes that occur in their environment. Therefore, it is rare for an organization to make major changes without strong encouragement from its environment. That is, the big changes that occur because the environment demands such. Some of the causes of organizational change, including external factors, are technological developments, economic factors and government regulations. Examples of External Factors Politics, Law, Culture, Technology, Natural Resources, Demographics and Sociology. III. Types of Organizational Change According to Angelo Kiniki (2018), Here are some types of organizational change. 1. Unplanned change Change is spontaneous, without any direction from the change agent. The types of changes that the organization cannot anticipate. For example, a wild strike that makes a factory close, or an interpersonal conflict that results in new procedures in inter-departmental relations. 2. Planned change These changes are produced by the efforts of the change agents. This change is a response to the difference between what is expected and actual conditions. For example, in an organization that applies information technology in its organization so that it can assist the organization in realizing the goals and ideals of the organization. IV. Organizational Change Actors According to Ronald E. Roggio (2017), there are actors who play a role in organizational change : Agents of Change (agents of change) Those who have the ability as a pioneer and motivator of change in the organization. Managers of change (managers of change) Those who have special capabilities in planning, organizing and implementing change. Facilitators of change These are people who are spread across all levels of the organization and actively support change agents and change managers. Barriers to Change (buffers of change) Parties who passively oppose change, because they feel reluctant or quite satisfied with the existing conditions. Opponents of Change (resistors of change), Those who actively and openly oppose change. V. Organizational Change Level According to Jeffrey M (2013), changes in organizations can be divided into 3 different levels. 1. Macroevolutionary forces of change Are organizational changes caused by the behavior of other organizations. Actions taken by other organizations often affect an organization, resulting in change. 2. Microevolutionary forces of change. These are changes caused by the influence of internal factors in the cycle or life cycle of the organization, either due to the increase in size and complexity, as well as problems of growth and decline of the organization. 3. Political forces of change It is a change at the individual level. Usually political and power struggles within the organization. VI. Organizational Change Steps According to Angelo Kiniki (2018), the steps in realizing organizational change, these steps consist of : 1. Conduct an Assessment It is undeniable that any organization cannot escape the influence of various changes that occur outside the organization. Changes that occur outside the organization cover various fields, including politics, economics, technology, law, socio-culture and so on. These changes have an impact on the organization, both negative and positive impacts. The impact is negative if the change becomes an obstacle to the smoothness, development and progress of the organization. The impact is positive if the change can facilitate the activities, development and progress of the organization or in the form of new opportunities that were not previously available. 2. Conducting Identification What needs to be identified is the impact of changes that occur in the organization. Every factor that causes organizational change must be examined carefully so that the problem is clear and can be solved appropriately. 3. Setting Changes Before taking steps for change, organizational leaders must first be sure that changes must be made, both in order to improve organizational capabilities and in order to maintain the existence and further development and growth of the organization. 4. Define Strategy If the leadership of the organization believes that change really must be made, then the leader of the organization must immediately develop a strategy to make it happen. 5. Conduct Evaluation To find out whether the results of the change are positive or negative, it is necessary to conduct an assessment. If the results of the change are in line with expectations, it means that it has a positive effect on the organization, and if it is otherwise, it means that it is negative. 6. Make changes to the organizational structure. 7. Changing employee attitudes and behavior. 8. Change the work flow. 9. Changing work equipment. 10.Change work procedures. 11. Make changes in interpersonal working relationships. VII. Organizational Change Goals According to Jeffrey M (2013), organizational change of course has a purpose behind it : 1. Increase the level of trust and support among members of the organization. 2. Increase the emergence of confrontations against organizational problems both within groups and between groups, as opposed to sweeping problems under the rug. 3. Creating an environment where the authority of the assigned role is enhanced by the authority based on knowledge and skills. 4. Increase the openness of communication horizontally, vertically and diagonally. 5. Increase the level of enthusiasm and personal satisfaction in the organization; 6. Finding synergistic solutions to problems. 7. Increase the level of self and group responsibility in planning and implementation. VII. Organizational Change Strategy According to Michael G. Aamodt (2016), in making organizational changes, of course there must be a strategy that is carried out so that these changes can have a better impact on the organization. Force-Coercion Strategy Changes are made through formal authority and/or the use of rewards & punishments. Change is obtained quickly but tends to be done because of a fear of punishment or a desire to get a reward, the effect is temporary. Suitable for use in the unfreezing stage, which is to leave the old pattern and encourage the formation of a new pattern. Rational Persuasion Strategy Changes are made through knowledge, empirical data and rational arguments. Managers must use a rational approach that changes will provide greater benefits than the previous pattern. Arguments can be presented by change agents, outside experts or through demonstrations. The changes that occur are slower than the force-coercion strategy, but the results are more “durable” and internalized within the individual. Shared Power Strategy A strategy that involves the participation of the parties involved to make changes in accordance with the values, needs and goals of individuals/groups. Managers need reference power and skills to work effectively with various parties. This change takes a long time, but the change will be more durable and internalized within each of them. B). Organizational Development I. Definiton According to Angelo Kiniki (2018), “The notion of Organizational Development is a systematic, integrated and planned approach to increasing organizational effectiveness and solving problems (such as lack of cooperation/cooperatives, excessive decentralization and lack of fast communication and so on) that hinder efficiency operations at all levels” According to Ronald E. Roggio (2017), "Organizational Development is a planned process to develop organizational capabilities in conditions and demands of an ever-changing environment, so as to achieve optimal performance carried out by all members of the organization" Based on that statement, I can conclude that, "Organizational development is a planned process to develop organizational capabilities in conditions and demands of an ever-changing environment" II. Strategic Planning and Organizational Development According to Angelo Kiniki (2018), all planning activities basically go through the following 4 stages. Stage 1: Setting a goal or set of goals Planning begins with decisions about the wants or needs of the organization or work group. Without a clear formulation of goals, the organization will use its resources ineffectively. Stage 2: Formulate the current state An understanding of the company's current position from the goals to be achieved or the resources available for achieving goals is very important, because goals and plans concern the future. Only after the current state of the company has been analyzed can a plan be formulated to describe further action plans. This second stage requires information-mainly financial and statistical data obtained through communication within the organization. Stage 3: Identify all facilities and obstacles All strengths and weaknesses as well as facilities and obstacles need to be identified to measure the organization's ability to achieve goals. Therefore, it is necessary to know the internal and external environmental factors that can help the organization achieve its goals, or that may cause problems. Although difficult to do, anticipating circumstances, problems, and opportunities and threats that may occur in the future is an essential part of the planning process. Stage 4: Develop a plan or series of activities for the achievement of goals The final stage in the planning process includes the development of various alternative activities to achieve goals, assessing these alternatives and selecting the best (most satisfactory) alternative among the various alternatives. III. Main Goals of Organizational Development According to Jeffrey M (2013), the main purpose of organizational development is to improve the functioning of the organization itself. Increasing organizational productivity and effectiveness has implications for the organization's capability to make quality decisions by making changes to the structure, culture, tasks, technology and human resources. IV. Characteristics of Organizational Development According to Michael G. Aamodt (2016), A complex educational strategy intended to change beliefs, attitudes, values, and organizational structures so that they can better adapt to new technologies, marketing and challenges, and the dizzying rate of change itself. Effective organizational development has the following characteristics: Is a planned strategy in realizing organizational change, which has clear goals based on a proper diagnosis of the problems faced by the organization. It is a collaboration between various parties who will be affected by the changes that will occur. Emphasize the new ways needed to improve the performance of the entire organization and all work units within the organization. Contains humanistic values ​​where the development of human potential is the most important part. Using a commitment approach so that it always takes into account the importance of interaction, interaction and interdependence between various work units as an integral part in a complete atmosphere. Using a scientific approach in an effort to improve organizational effectiveness. V. Strategic Planning And Organizational Development According to Ronald E. Roggio (2017), several things must be considered in strategic planning and organizational development: External Observation That is by paying attention to opportunities and threats in all aspects, whether economic, political, technological, cultural and others, all of which will shape the character of the organization. Internal Observation Consisting of HR evaluation and organizational structure, with the aim of measuring HR readiness (inputs), current strategy (process), performance (outputs) and internal potential that will shape organizational dynamics. Organizational Formulation Is the development of long-term planning, from the effective management of opportunities and threats that are synergized with internal conditions. Mission Organizational mission is the purpose or reason why the organization exists and confirms the existence of the organization. The concept of a mission that is structured in a systemic and general manner will characterize the organization with other organizations, and contribute to the unique value of the organization's products offered. Destination Is the final result of planning activities, by formulating what and when to be accomplished by measuring goals. Strategy Strategy is a comprehensive planning concept of how the organization can achieve its mission and goals. Policy Is a broad guide that links strategy and implementation. This policy is general in nature which will later be followed and specified and interpreted and implemented by the divisions through the strategies and objectives of each division. Strategy implementation It is the process by which management puts strategies and policies into action through the development of programs, budgets and procedures. Program Is a statement of the activities required to complete a single-use plan. Budget. Is a program that is expressed in units of money, each program will be stated in detail in costs, which can be used by HR to manage the organization. Procedure Often also referred to as standard operating procedures, which are sequential steps that describe in detail how a task or job is completed. Evaluation and Control Is a process through which activities and work results are monitored and actual performance with the desired performance / program. C). Managerial Implications on Organizational Change and Development According to Michael G. Aamodt (2016), In a managerial context a company does need a change, especially a change for the better. This change can also be a benchmark for the progress of a company. One form of change that can advance a company is the planned renewal of business processes. Another thing that becomes the focus of changing a company is how companies can evaluate the results of the changes they make. Changes in a company cannot be separated from the role of leaders who serve as decision makers. Growing is a requirement to stay alive. The process of development always implies a change. Change is inevitable, as a consequence of development. Development can be positive or negative. Developments in a positive direction provide strength for organisms (humans or organizations) to be able to adapt to the environment. Developments in a negative direction, due to their nature or due to mismanagement, will result in setbacks and even death. Developments that are designed will generate greater opportunities in a positive direction. Managing change cannot be underestimated and should be considered when defining, developing, implementing, and evaluating new ways of doing things. Change Management is a long and tedious process. While many changes can be planned and anticipated, they often have unanticipated, and even unintended, consequences and implications. Because what happens because of organizational change and development is that an organization will experience an increase in both performance and other things, the organization will also not stay in a position but continue to grow day by day. D). Methods of Organizational Change and Development According to Jeffrey M (2013), There are various techniques designed by experts, with the aim of improving the ability to communicate and work effectively, between individuals and between groups within the organization. Some of the techniques that are often used are as follows: 1. Sensitivity training It was the first OD technique to be introduced and the one most frequently used in the past. This technique is also known as T-group. In group T groups (short for training), each consisting of 6-10 participants, the group leader (trained) guides the participants to increase sensitivity to others, as well as skills in interpersonal relationships. 2. Team Building An approach that aims to deepen the effectiveness and satisfaction of each individual in his work group or team. Team building techniques are very helpful in increasing cooperation in teams that handle projects and their organization is matrix. 3. Survey feedback. In survey feedback technique. Each participant was asked to answer a questionnaire intended to measure their perceptions and attitudes (eg perceptions of job satisfaction and their leadership style). 4. Transcational Analysis (TA). TA concentrates on interpersonal communication styles. TA teaches how to convey a clear and responsible message, as well as how to respond naturally and pleasantly. TA is meant to reduce bad and misleading communication habits. 5. Intergroup activities. The focus in the technique of intergroup activities is improving good relations between groups. Dependence between groups, which form organizational unity, causes many problems in coordination. Intergroup activities are designed to enhance cooperation or resolve conflicts that may arise as a result of this interdependence. 6. Consultation process. In Process consultation, OD consultants observe communication, decision-making patterns, leadership styles, cooperative methods, and conflict resolution within each organizational unit. The consultant then provides feedback to all parties involved about the process he has observed, and recommends corrective action. 7. Grip OD. The grip approach to organizational development is based on the managerial grip concept introduced by Robert Blake and Jane Mouton. This concept evaluates their less effective leadership style into an ideal leadership style, which is maximally oriented to the human and production aspects. 8. Third-party peacemaking. In applying this technique, the OD consultant acts as a third party who utilizes various ways of mediating disputes, as well as various negotiation techniques to solve problems or conflicts between individuals and groups. Conclusion Basically, every organization must experience changes and developments in order to be able to adapt to the surrounding environment. Changes that occur in an organization can occur in a planned or unplanned manner depending on internal and external factors. However, the main goal of organizational change is to achieve work effectiveness and efficiency and also to change the organization for the better. Organizational change is also a community effort within the organization, working together to achieve a common goal, by making organizational changes in various aspects. Or make various adjustments to the evolving times. So that his goals can be achieved, and can survive in the great changes of the world. In terms of organizational change, a similar term is also known, namely change intervention, which is a plan of action or action to innovate and change things to be different. And change again, namely an individual or group that acts as a catalyst or a person who is responsible for managing and determining work procedures within the organization, in order to achieve the desired goals. Organizational Development is a program that seeks to increase organizational effectiveness by integrating individual desires for growth and development with organizational goals. An organization really needs to experience a development, because an organization can be said to be successful when the organization develops in a positive direction, so that the people who are members of the organization can achieve its goals. And in an organizational development requires system adjustments in the organization in following the changing times. And the development of an organization can also be used as a parameter for the organization, whether the organization can still exist and protect the community of the organization in the face of the times. If an organization can no longer protect or fail to achieve the goals of the community of the organization, then the organization is an organization that has failed in its development. Source Landy, Frank J., & Conte, Jeffrey M. (2013). Work In The 21st Century. 4th edition. United Statesof America. John Wiley & Sons. Ebook Kiniki, Angelo. Fugate, Mel. (2018). Organization behaviour : a Practical, Problem-Solving Approach. Second Edition. McGraw Hill Education. New York. E-Book. Michael G. Aamodt. (2016). Industrial/Organizational Psychology An Applied Approach. Eighth edition. Boston. CENGANGE. E-Book Roggio, Ronald E. (2017). Introduction to Industrial/Organization Psychology. Seventh Edition. New York. Routledge. E-Book Britt, Thomas W. Jex, Steve M. 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