Post on 03-Jan-2016
Diagnosing Organizations
Diagnosis Defined
Diagnosis is a collaborative process between organizational members and the OD consultant to collect pertinent
information, analyze it, and draw conclusions for action planning and
intervention.
The Need for Diagnostic Models
O Entry and contracting processes can result in a need to understand either a whole system or some part, process, or feature of the organization. To diagnose an organization, OD practitioners and organization members need to have an idea about WHAT information to collect and analyze.
O Conceptual frameworks that are used to understand organizations are referred to as “diagnostic models”.
Open Systems Model
Inputs• Information• Energy• People
Transformations• Social Component• Technological Component
Outputs• Goods• Services• Ideas
Environment
Feedback
Open Systems ModelO This model recognizes that organizations
exist in the context of a larger environment that affects how the organization performs and in turn is affected by how the organization interacts with it.
O This also suggests that organizations and their subsystems – departments, group, and individuals – share a number of common features that explain how they are organized and function.
Properties of Systems
O EnvironmentsO Inputs, Transformations, and OutputsO BoundariesO FeedbackO EquifinalityO Alignment
Diagnosing Organizational Systems
OThe key to effective diagnosis is… OKnow what to look for at
each organizational level ORecognize how the levels
affect each other
Organization-Level Diagnostic Model
Inputs
Technology
Strategy Structure
HR Measurement Systems Systems
GeneralEnvironment
IndustryStructure
Design ComponentsC
ultu
re
Organ
izationE
ffectiveness
Outputs
Group-Level Diagnostic Model
Inputs
OrganizationDesign
Design Components
Team
Effectiven
ess
Outputs
Goal Clarity
Task Structure
Group Composition
Team Functioning
Group Norms
Individual-Level Diagnostic Model
Inputs
OrganizationDesign
Group Design
Personal Characteristics
Design Components
Ind
ividu
al Effectiven
ess
Outputs
Skill Variety
Task Identity
Task Significance
Autonomy
Feedback about Results
Key Alignment Questions
O Do the Design Components fit with the Inputs?
O Are the Design Components internally consistent? Do they fit and mutually support each other?
Organization-Level Inputs
O General EnvironmentO External forces that can directly or
indirectly affect the attainment of organizational objectives
O Social, technological, ecological, economic, and political factors
O Industry StructureO External forces (task environment)
that can directly affect the organization
O Customers, suppliers, substitute products, new entrants, and rivalry among competitors
Organization Design Components
O StrategyO the way an organization uses its resources
(human, economic, or technical) to gain and sustain a competitive advantage
O StructureO how attention and resources are focused on task
accomplishmentO Technology
O the way an organization converts inputs into products and services
Organization Design Components
O Human Resource SystemsO the mechanisms for selecting,
developing, appraising, and rewarding organization members
O Measurement SystemsO methods of gathering, assessing, and
disseminating information on the activities of groups and individuals in organizations
Organization Design Components
O Organization CultureO The basic assumptions, values, and
norms shared by organization members
O Represents both an “outcome” of organization design and a “foundation” or “constraint” to change
Outputs
O Organization PerformanceO e.g., profits, profitability, stock price
O ProductivityO e.g., cost/employee, cost/unit, error
rates, qualityO Stakeholder Satisfaction
O e.g., market share, employee satisfaction, regulation compliance
AlignmentO Diagnosis involves understanding each of the
parts in the model and then assessing how the elements of the strategic orientation align with each other and with the inputs.
O Organization effectiveness is likely to be high when there is good alignment.