Organizational Development, OD, Intervention Process (from a case study)

REQUIREMENT

This is an individual assignment. Learners have to analyse the given case and answer all the attached questions. This case contribute 60% of the total course work marks. Each question carries different marks and the marks are allocated as indicated at the end of each question.

Case Study

An HR Director asked us to help resolve conflict between the HR and Finance departments. While acknowledging that personality differences existed between the two Dept. Heads, the conflict also involved several team members in each department. The groups needed to interact on a variety of projects and poor communication was impacting morale and productivity. We interviewed each Director to understand their perspective about the conflict. We also interviewed a couple of key team members from each department. To gather further advance information for the meeting, we developed a short online survey for the two groups. Each person was asked to assess their group’s performance and the performance of the other group on various communication topics. They were also asked to describe how they viewed themselves, how they viewed the other group, and how they felt the other group viewed them.

The data from the mini survey was summarized and sent to members of both teams a couple of days prior to the meeting. All department members also completed an on line Myers Briggs assessment. The full day workshop began with a two-hour, Myers-Briggs communications workshop with all Department members. This helped people understand that all the preferences are needed to obtain best results and to appreciate the different preferences of their peers and leaders. We gave them information about how to communicate effectively with different types. The rest of the morning was spent reviewing the results of the survey and breaking into small, action planning teams with HR and Finance represented on each team. The groups were asked to look at the data from each group’s perspective and then develop some specific plans to improve communications. The morning session was closed out by reassembling the entire group and asking each person to share something they personally planned to do to help improve future communications.

In the afternoon, our facilitator met for a coaching session with just the two Directors. The survey data was reviewed with them and the morning workshop debriefed. The Directors were also asked to talk honestly about what their personal contributions to the conflict issues were and to brainstorm ways that they and the two groups could begin to improve their inter-group communications. The feedback on the workshop from the team members and the Directors was very positive. They felt that the honest discussions about communication issues would help them improve. We checked back with the Directors two months after the workshop and they indicated that inter-group communications had improved dramatically. They were pleased that each group’s perceptions of the other group were now more positive as were their own understanding of each other.

Source: http://www.plummerhr.com/documents/Cases.pdf

Based on the above case, answer the following questions:

a) Explain the diagnosis process in this case and how it helps in the intervention.(10 marks)

http://www.plummerhr.com/documents/Cases.pdf

BMOD5103 – Intervention Process Nor Helmee Bin Abd Halim

b) Using relevant examples, discuss the ethical issues that you need to consider when dealing with the diagnosis and feedback process.

(10 marks)

c) Discuss with appropriate theoretical foundation, the types of intervention used in the above case. (15 marks)

d) In your opinion, what are the factors that may contribute to the conflict between the HR and Finance Departments?

(15 marks)

e) What are the factors that you need to consider when selecting the right intervention strategy?(10 marks)

[TOTAL MARKS : 60]

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1. Table of ContentsAbstract................................................................................................................31. Introduction..................................................................................................3

1.1 Organization, OD and Intervention Defined.....................................................................31.2 General Model of OD Process (ODP)...............................................................................31.3 Diagnosis Defined.............................................................................................................41.4 Diagnosing Organizational Systems.................................................................................51.5 The Diagnosis Technique used in the Case......................................................................6

1.5.1 Data Gathering...........................................................................................................61.5.2 Problem Identification and Interpretation..................................................................81.5.3 Intervention – Feedback and Solution.......................................................................9

1.6 Summary.........................................................................................................................102. The Ethical Issues in Diagnosis and Feedback Process..........................10

2.1 Personality Differences and Privacy...............................................................................102.2 Confidentiality................................................................................................................112.3 Technical ineptness.........................................................................................................112.4 Misuse of Data................................................................................................................122.5 Misrepresentation and Collusion....................................................................................132.6 Summary.........................................................................................................................13

3. Theoretical Foundation and Types of Intervention................................143.1 Approaches to Consultation............................................................................................14

3.1.1 Doctor-patient Model...............................................................................................143.2 Types of Interventions....................................................................................................16

3.2.1 Individuals...............................................................................................................163.2.2 Teams.......................................................................................................................173.2.3 Organizational..........................................................................................................18

3.3 Summary.........................................................................................................................184. What's causing the conflict?......................................................................18

4.1 Misalignment of Business Unit Goal..............................................................................194.2 Unclear Expectations......................................................................................................194.3 Personality Differences...................................................................................................204.4 Organization Culture and Subculture..............................................................................204.5 Summary.........................................................................................................................21

5. Considerations when selecting the right Intervention Strategy (pg196)215.1 Organization Readiness...................................................................................................215.2 Unmatched Strategy to the Data and Diagnosis..............................................................225.3 Deciding where to Intervene...........................................................................................225.4 Sequence of Activities....................................................................................................235.5 Conclusion......................................................................................................................24

References..........................................................................................................25

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Abstract

This paper discusses the OD process which includes diagnosis and feedback process, ethical

issues, theoretical foundation and conflict. The discussion is based on the given case where two

departments, HR and Finance are facing internal conflict which causing a delay on multiple

projects. The issue is also impacting the morale and the productivity of the team members.

Ineffective communications between the two departments has been identified as the primary

source of the conflict. The paper further investigate and identify the root cause of the conflict, as

well as and the activities involved in the intervention process. The paper also discuss the factors

to consider when selecting the right intervention strategy.

1. Introduction

1.1 Organization, OD and Intervention Defined.

A simple definition of an organization defined by researchers is “an organized or cohesive group

of people working together (employee) to achieve commonly agreed goals and objectives”. To

develop and improve efficiency as well as expand productivity of the said group of people,

organizational development and change (OD) is then introduced. OD focus is to make

organizations better by solving problems within the organization or as a way to analyze a process

and find a more efficient way of implementing it.

According to Richard Beckhard (1969), OD is defined as an effort (1) planned, (2)

organization-wide, and (3) managed from the top, to (4) increase organization effectiveness and

health through (5) planned interventions in the organization’s “processes,” using behavioral-

science knowledge. While Anderson (2015) defined OD as a process of increasing organizational

effectiveness and facilitating personal and organizational change through the use of

interventions driven by social and behavioral science knowledge.

1.2 General Model of OD Process (ODP)

There are many versions of an overall model of the OD in the literature, the one used by

Anderson (2015) is depicted as in Figure 1.1. Different practitioners may label the phases

differently but the one shown in Figure 1.1 is consistent with what most OD practitioners do.

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Figure 1.1 – Stages of OD Process (ODP)

The model looks like a linear process, but OD practitioners are not necessarily to follow

step-by-step. They can revisit to different stages throughout the engagement as needed. The

components of the OD model will be further discussed subsequently.

1.3 Diagnosis Defined

Diagnosis process is the most important part before OD interventions take place. The primary

objective is to provide diagnostic information to the organizational leadership and OD consultant

which to be used for decisions regarding what OD interventions are appropriate going forward.

According to Nielsen and Abildgaard (2013), diagnosis is defined as 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 process must be conducted

thoroughly and accurately in order to answer the question of “What is the current state of the

situation? What is causing the conflict between HR and Finance departments and to how mitigate

the situation?”

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Evaluation and Exit

Intervention

Feedback Diagnosis

Data Gathering

Contracting

Entry


1.4 Diagnosing Organizational Systems

According to Cummings and Worley (2008), organizations can be diagnosed at three levels. The

highest level is the overall organization structure. The next level is the group or teams and the

lowest level is the individual, position or job. Figure 2.1 illustrates how a diagnosis occurs at

different organization systems. For each level, it shows 1) the inputs that the system has to work

with, 2) the key design components of the transformation subsystem, and 3) the system’s

outputs.

Figure 2.1 – Diagnosing Organizational Systems.

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1.5 The Diagnosis Technique used in the Case

In a typical situation, the diagnosis process involves 1) data gathering, 2) Identification of

problem areas, 3) Interpretation and 4) solution.

1.5.1 Data Gathering

The approach used by the HR Director is known as “doctor-patient-model” in OD process. The

director hired an OD consultant and asked the consultant to resolve the conflict between HR and

Finance departments. Anderson (2015) writes about the responsibilities of the OD consultant

which include gathering data, processing information, making a diagnosis and propose the right

solutions for the organization. The implementation of the solution relies on the patient or client.

Cummings & Worley (2008) argue that the quality of information gathered is the critical part of

the intervention process. The common methods used include interviews, questionnaires or

survey, focus groups, observations, and unobtrusive measures. At this stage, the consultant

performed the following steps;

1.5.1.1 Interviews

The OD consultant conducted interviews for two groups of people in the organization to

understand more about the situation. Both HR and Finance Directors were interviewed and the

second group was the key members from both departments. Interviews are the most common

method of data gathering in OD. Anderson (2015), explained the one-on-one meeting is where

the consultant gathers information about individual stories and perspectives of organizational

members and explore their history, experiences, beliefs and attitudes in details. While Seidman

(2006) argues accuracy of data gathering through interviews relies heavily on cooperation from

organizational members who will only open up to discuss serious issues if they trust the

interviewer.

Though interviews are frequently used in the process, there are many factors contributing

to the success of this method. Anderson (2015) mentioned that OD consultants must have

excellent interpersonal skills in conducting interviews. It can be threatening, as members may

feel defensive if they are personally involved in a problem. Interviewers must be able to control

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the situation, be an active listener as well as a good conversationalist. The interviewers may

encounter a different type of situation during the interview session. HR personnel may have a lot

of things to say and share with the interviewer, and sometimes the topic can be derailed from the

main objectives. A good conversationalist must be able to bring the interviewee back on track

else it creates more issues in the process like unable to complete the session on time which then

affects others work schedule. Contradict to the above scenario, interviewing the finance could

not be exciting as interviewing HR due to personality differences and so on. The role of the

interviewer is to ignite the conversation to make the session more interactive, hence the

importance of being a good conversationalist.

1.5.1.2 Online Survey or Questionnaire

The second approach used by the consultant is developing a short online survey for both HR and

Finance departments. Survey or questionnaire is another common method used in data gathering.

The history goes back to an empirical study by Mann (1957) where the survey used has

developed as a means by which consultants can solicit input from a large number of

organizational members at once. According to Anderson (2015), surveys address a broad number

of subjects and explore a wide range of issues, as opposed to an investigation of one or two

issues.

Consultants usually use this method as a follow up from the interviews or focus group to

understand how prevalent the issues are that have been brought up in interviews. By combining

survey with other methods, surveys can provide breadth where others provide depth. (Anderson,

2015). This method is known for its efficiency, with the use of Internet or intranet, survey can be

completed quicker and responses can be obtained within a short period of time. It remains as one

of the most popular ways in the data gathering process.

On the case, the consultant developed and conducted an online survey to be filled out by

all team members from both departments. The survey covers many areas of performance

assessment, evaluation of own group’s performance versus the performance of another group on

various communication topics. Each team member was also asked to describe how they viewed

themselves, how they viewed the other group and how they felt the other group viewed them.

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1.5.1.3 Myers Briggs assessment

Besides interviewing and survey, the consultant also conducted Myers-Briggs Type Indicator

(MBTI) personality and behavioral assessment. The MBTI or Myers-Briggs Type Indicator was

developed in the 1920s based on the psychological theories of Carl Jung, who believed that

“people are different in fundamental ways even though they all have the same multitude of

instincts (archetypes) to drive them from within” (Keirsey & Bates, 1984). MBTI is the most

widely used behavioral assessments in the world for helping the team understand themselves as

well as to appreciate the different preferences of their peers and leaders, thus build better work

relationships.

The MBTI assessment helps both HR and Finance team members to understand that each

individual has different personality types or preferences. It is important for each team member to

appreciate the different preferences of their peers and leaders. In the workshop, the consultants

use the MBTI results as an aid and guidance for people about how to communicate effectively

with different personality preferences among team members and peers.

By applying this method, the participants can confidently interact with each other

according to their personality preferences. For instance, most HR personnel can be extrovert

preferences, therefore the effective communication with HR personnel is via telephone or in-

person. Finance personnel in contrast, are introvert preferences, communicating in writing,

including email, is the preferred mode of communication with an introvert person. Personality

preferences is inborn but individuals can develop traits and habits that differ from the description

of their preferences.

1.5.2 Problem Identification and Interpretation

Based on the information gathered from the data gathering stage, the consultant summarized lack

of interpersonal skills in communication among peers and leaders, own assumptions and

perceptions about each other have been the main contributing factors to the poor productivity and

low morale of both HR and Finance departments. The conflicts also impacting the performance

of multiple projects they are collaborating.

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Being the leaders of the HR and Finance department, both directors are seen to work in

their own world, not synchronized with each other on the deliverables that both departments

have to deliver. Goals and objectives are not well communicated from top-down leaving each

team member with unclear expectations, undefined roles and responsibilities to achieve the

common goals of the departments.

1.5.3 Intervention – Feedback and Solution

In the data analysis step, the consultant summarized the information and shared with all team

members from both departments. The consultant proposed a one day workshop for the

intervention. The workshop was divided into two sessions. In the morning, the consultant

conducted Myers-Briggs communication workshop addressing individual personality preferences

and guidelines on effective communication according to preferences. Each individual is unique

in every way, with the help of MBTI concept, the consultant explained to all department

members that all preferences are needed to obtain the best results from both departments. It is

also important for every team members to appreciate the different preferences among them

including their leaders.

After the MBTI workshop, the online survey results were discussed and the participants

were divided into smaller groups. The groups were required to develop specific action plans how

to improve communications. The consultant then regroups them back and asked each person to

share their individual plan to help improve future communications.

The second session, the consultant conducted a coaching session with both HR and

Finance Directors. They were required to discuss about their personal contributions to the

conflict issues and brainstorm ways for the two groups to improve their inter-group

communications. Two months after the workshop, the Directors indicate that inter-group

communications have improved dramatically. They have positive perceptions among each other

as well as their own understanding of each other.

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1.6 Summary

From the case, the OD consultant demonstrates how diagnostic methods are used in the diagnosis

process and prepare a suitable intervention solution for both HR and Finance departments. With

the aid of instruments like survey, MBTI and access to technology, it helped the consultant to

identify and smoothen the overall intervention process.

2. The Ethical Issues in Diagnosis and Feedback Process

According to White & Wooten (1983), ethical dilemmas or issues refer to the result of behaviors

and inappropriate actions or roles on the part of both change agents and client systems. It can

also be defined as any choice situation encountered by a change agent or client system that has

the potential to result in a breach of acceptable behavior. Ethical dilemmas occur at various

stages of OD process. White & Wooten (1983) address 31 ethical dilemmas in total, however,

specifically in diagnosis and feedback process, the issues include;

2.1 Personality Differences and Privacy

The two groups have different personality based on the nature of their work. HR department can

have a mix of people depending on their roles. For instance, payroll personnel can be secretive

and quiet, whereby talent management team is talkative and friendly. Finance department in

contrast, can be too focused with numbers, figures and facts. Due to these personality

differences, the OD consultant may get a variety of inputs during the diagnosis phase or may not

get the desired inputs at all. People who deal with sensitive information may not reveal

everything due to “invasion of privacy” policy. Whereby people from finance may provide too

brief inputs which is not usable during data analysis.

The roles of the OD consultant are very important in tackling this issue. For example, if

interview method is used, there are standard guidelines for an OD consultant to follow. Anderson

(2015) mentioned that participants should be informed in advance and they must be well

explained on the objective and purpose of conducting the interview. The interviewer must also

have the right skills in conducting interviews, otherwise low quality of inputs will be gathered.

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2.2 Confidentiality

(White & Wooten, 1983; Anderson, 2015) highlight about confidentiality issue when using the

data in the feedback meeting in a manner that violates the anonymity of the participants. In this

case, both HR and Finance Directors may want to know which quote came from which

interviewee. They would like to know specifically who provided the inputs, whether from long-

tenured employee or from a new-hirer, or it was from the HR or Finance department. The

directors may prefer to read the raw data rather than a summary prepared by the consultant, but

the situation creates an ethical dilemma for the consultant who would like to make the data

known for them to appropriately interpret and act upon the information and at the same time the

consultant also owes anonymity to the participants.

2.3 Technical ineptness

Technical ineptness is the most widely discussed by researchers as cited by White & Wooten

(1983) referring to (Benne, 1959; French & Bell, 1978; Lippitt & Lippitt, 1978; Pfeiffer & Jones,

1977; Shay, 1965; Walton & Warwick, 1973; Warwick & Kelman, 1973; Zaitman & Duncan,

1976). It occurs when OD practitioners try to implement interventions which they are not skilled

or when the client attempts a change for which it is not ready. The success factor of an OD

program is the selection of an appropriate intervention, which also depends on careful diagnosis

of the current situation. Incompetent OD consultants may not improve the situation, but merely a

waste of time, money and efforts to the organization.

Using the interview and survey steps as an example from the case, the consultants

conducting the interviews must possess great interpersonal skills. A hard and tense situation may

fall out during the consultation, especially when sharing with senior employees from both HR

and Finance departments who are already comfortable with their current way of working. He or

she may not supportive, reluctant to cooperate by telling everything is “OK” and always try to

end the conversation early. This is where the importance of technical skills is needed from the

consultants. The consultants should have the right skills to motivate the person to speak up and

share their opinion.

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From a different angle, the online survey method used should follow the current standard.

It must be simple, understandable, not too many questions and easy to navigate from one page to

another page. If the survey contains too complex or too long then the participant will lose interest

in completing the survey. The consultant must use suitable questionnaires, relevant to the

situation and the most important thing the outcome or result of the survey can be used in the

intervention process.

2.4 Misuse of Data

In the data analysis phase, the consultant faces the dilemma of whether interpreting the data in a

way that genuinely reflects the data or the consultant’s own choices on issues or concern. The

consultant may alter, delete or distorts particular points in the data. White and Wooten (1983)

highlighted the situation may happen to an internal consultant or a change agent who has a

personal stake in what data the client sees and chooses to address.

Both directors in this case demonstrate lack of leadership skills in terms of

communicating the goals and objective to their subordinates which contribute to the conflict.

Some of the team members may have highlighted the issue during the interview as well as in the

survey form. The consultant analyzing the data, may have interpreted the input wrongly or can

be over exaggerated, which is not relevant to the issue. It may introduce a different type of issue

like, breaching code of ethical conduct.

In a different scenario, the handwritten notes of the consultant from the interviews and

the feedback from the survey must be stored and kept in a safe place. The information could be

leaked or stolen, and irresponsibility person can manipulate the data for personal gain or any

other reasons. It is important to have a second pair of eyes to recheck and analyze and

information and ensure the findings are similar to what has been translated by the first

consultant. It is the same for data storage, Anderson (2015) suggested to destroy the data

immediately after the data has been analyzed.

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2.5 Misrepresentation and Collusion

In a typical scenario, misrepresentation and collusion are well-known issues in OD practice.

According to White & Wooten (1983), this situation happens when the consultant and the client

are required to decide between the options of representing all available information and

including or excluding various parties involve in the intervention process. Misrepresentation

occurs when the consultant misrepresents his or her skill base, education, experience,

certification, or specialized training, or in the opposite where the client misrepresents the

organization’s interest, need, or goal. Generally, misrepresentation is an ethical issue which

impacts the diagnosis process, especially at the data gathering stage.

Using the interview session in this case, if the consultant is not trained and not a skilled

interviewer, the data collected may not accurate as the consultant fails to ask the right questions.

The consultant may stray away, which in the end misses the objective of the interview. It is the

same for the interviewee when they fail to provide a clear background of the current situation to

the consultant. As a result, the consultant may diagnose the situation wrongly and eventually

propose an inaccurate intervention strategy.

Another example is when the consultant chooses to collude with the client by avoiding or

minimizing difficult feedback. When the consultant discovers through the data gathering process

about incompetent manager, the consultant may be reluctant to address it for fear of the

manager’s emotional response. By committing this, the consultant is not properly addressing and

highlighting his actual findings, which will impacting the intervention process.

2.6 Summary

In summary, ethical issues and dilemmas are caused largely by the nature of the relationship

between the change agent or consultant and the client. Various values held by the consultant and

the client influenced their actions. Previous studies proposed some guidelines to improve

consultant’s actions. Schein (1987, 1997, 1999) suggests few relevant principles like “everything

you do is an intervention”, “always stay in touch with the current reality”, “share the dilemma”

and “always stay in touch with the current reality”. As one of the goals of OD is to model

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openness, so both client and consultants should embrace openness to ensure success of OD

program.

3. Theoretical Foundation and Types of Intervention

As the basic theoretical foundation of OD has been covered earlier in chapter 1, the next

component to look at is the relevant theory used in the case and the organization development

intervention (ODI) process.

3.1 Approaches to Consultation

There are two common approaches or models used OD consultants. Schein (1969, 1999)

describes two approaches; 1) expert model and 2) doctor-patient model. Anderson (2015) added

another approach on top of the existing popular model, 3) mechanic model.

Expert Model – The model of consulting described by Schein (1999) as the “purchase of

expertise” or “selling and telling”. The client in this case will hire expert consultants to solve a

problem or implement a solution which has been chosen by them. For example, technology

consultants will be hired to solve technology problem. The problem has been identified by the

client for instance, “abuse of internet access by the employees” and the client will hire expert

technology consultant to propose intervention to the problem. An expert consultant is hired when

an organization does not have internal expertise to look at the issue.

Mechanic Model – Kahnweiler (2002) describes the third popular model. Simple analogy to this

model is when someone visits an auto mechanic and describes the technical difficulty he

experiences with his car to the mechanic. The mechanic acknowledges it and tells the customer

to come back after a few hours to collect his car back. In between, the mechanic uses his

expertise to fix the issue as described by his customer. The mechanic accountable for the solution

and the customer only needs to verify the solution. In OD space, the client hires a consultant to

fix an issue and then wait for the consultant to come back with a solution. The consultant is on

the losing side if the given solution is not working as he has the total accountability over it.

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3.1.1 Doctor-patient Model

The approach used in the case is based on “doctor-patient” model. The model can be illustrated

as someone is visiting a general practitioner. He will describe the pain to the doctor and the

doctor will assess by asking a series of questions. From the answers given by the patient and

through doctor’s observation, he announces the result and the solution. The patient and the

doctor feel relieved and satisfied when the problem is solved. This model is very popular and

commonly used in OD process. In OD situation, the consultant is responsible to gather data,

process information, makes a diagnosis and choosing the right intervention for his client.

From the case, the intervention process started when the HR director engaged OD

consultants to help resolving the conflict between HR and Finance departments. The HR director

explaining the difficulty of both teams interacting with each other to deliver the multiple projects

they work together. The conflict has been going on for a while which resulting delays in project

delivery as well as impacting the employees morale and team’s productivity. The HR director is

open for suggestion and ready for any change in order to improve the situation.

Based on the commonly used intervention process, the consultants started with diagnosis

process. They conducted interviews with both directors then followed with key persons from

both teams. They also set up an online survey for all team members to participate and provide

their own opinions on the issue. The consultants also conducted an MBTI assessment for each

individual from both teams.

At the problem identification and interpretation stage, the consultant highlighted about

poor communication as the main reason to the conflict. The consultant then explained the

possible factors that contribute to the conflict in the feedback stage. One of the main factors is

the personality differences among the team members of both departments. Apart from that,

unclear expectation from the leaders, cultural issue and misalignment of business unit goals.

At the solution stage, the consultant recommended a full day workshop to discuss on the

feedback given by the team members, to explain the expectations of each other, roles and

responsibilities as well as guidance on how to communicate effectively based on different type of

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personality preferences. The workshop also includes a private session with the two directors

discussing on their course of action on how to improve the inter-group communications.

3.2 Types of Interventions

There are three types of intervention techniques; 1) individual 2) groups and teams and 3)

organizational or multiple organization. Anderson (2015) writes about the differences of these

three types of intervention techniques. The case illustrates how individual and team interventions

is applied in OD process.

3.2.1 Individuals

The consultant conducted one-on-one interviews, survey and MBTI personality assessments.

One-on-one interview – The consultant conducted one-on-one interview with HR and Finance

Directors and some key persons like team manager or team leader from each department. The

consultant set an objective of the interview is to get personal insights of the current situation of

these persons.

Online survey – Although the design of the survey is not personalized but the participants have

to complete the survey individually. Each of them has to complete and submit the survey

individually based on their inputs and opinions related to the conflict. The consultant gathered

each person feedback, consolidate and summarized it as a group opinion.

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Individual Team

Organization


MBTI - The other technique used is the MBTI personality assessment. The assessment is part of

the critical components of the diagnostic phase as the results will be analyzed and used in the

intervention program. The results identify each individual preferences and the team as part of

individual development, they will be taught on how to communicate effectively with different

type of preferences. Each individual is required to complete the assessment and the result of the

individual assessment is discussed in the workshop. Each person must know their preference as

well as their peers and leaders preferences.

Individual Action Plan – In the workshop, the consultant emphasizes active participation of each

individual to share their own action plan to help improve future communication.

Coaching – In the second session, the consultant conducted a coaching session with the two

directors. Basically, the directors were coached to be more open and look at the bigger picture

which is the project goals rather than selfish and work in silos. In the diagnosis stage, the leaders

have been found working within their circle only and less communication is seen between the

two leaders from both departments.

3.2.2 Teams

The overall focus is on HR and Finance departments. It involves from “top-down” including

every team member in both departments.

Feedback – Although the feedback is completed individually, the summary was put as a

collective inputs from all of them. The feedback represents each team perception of each other.

Workshop – The workshop is designed for teams. The team’s feedback is presented openly and

they are required to address the deficiencies among them and come out with an action plan to

improve future communication.

Communication approach between different preferences – Based on MBTI preferences, the

team is taught how to use different type of communication style when communicating with

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different type of people. They should be able to use some common sense as well as able to use

appropriate of “choice of words” in their interpersonal and inter-groups communication.

3.2.3 Organizational

Although organizational approach is not part of the case, the outcomes of the intervention

program for both teams can be set as an example for the entire organization. For example,

engineering department and sales department obviously have different characteristics and

therefore the same intervention program may apply to a larger team of the organization.

3.3 Summary

Based on the above justifications, the steps and the tasks involved in OD process are aligned

with a definition by previous researcher like Argyris (1970) who defined intervention as “to

intervene is to enter into an ongoing system of relationships, to come between or among persons,

groups, or objects for the purpose of helping them”. The more recent study defined intervention

as a deliberately planned, behavioral, theory-based actions that aim to increase an organization’s

effectiveness or efficiency (Nielsen & Abildgaard, 2013).

After the workshop, the consultant conducted a short survey to gather feedback about the

workshop. The participants including the directors provided positive response to the consultant.

It promptly indicates the teams are ready for change and the honest discussion and the

knowledge they gained from the workshop will be applied in order to improve the situation. The

consultants also checked back with them after two months, and the directors indicated the inter-

group communication had improved dramatically. They were also pleased that each groups’

perception of the other group were now more positive as were their own understanding of each

other.

4. What's causing the conflict?

HR and Finance people come from different worlds. Finance people deal with the actual, things

more specific, measurable and tangible or live under the old sayings “cash is king”. While HR is

more art than science, more “right brain” than “left brain” and often live by the motto, “people

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are our greatest asset”. The differences between these two departments have made it difficult to

find a common ground, thus the conflict. HR and Finance, in turn, should build a strong

relationship for business to be competitive advantage in the market (The Economist, 2012).

4.1 Misalignment of Business Unit Goal

Each business unit in an organization, including HR and Finance has their own goal. Typically,

one of HR business goals is to provide as much as possible training opportunity to all employees.

The training and development project obviously requires a lot of financial investment. Finance

department in turn, will have “cost-savings” as one of their business goals. Practically, business

unit goals should be aligned with the main corporate goal. When both HR and Finance personnel

do not have a clear objective of the goal, it leads to a conflict. Whenever HR requested a training

budget, Finance will turn them down.

Remediation strategy, for instance, HR to submit training budget quarterly instead of

yearly, and Finance to communicate the allocation limits so that HR as well as other departments

to work their training needs based on the allocated budget. As cited in The Economist (2012),

“Conflicts between Finance and HR often arise as one (Finance) needs rational or quantifiable

elements to measure return on investment [ROI] decisions (which are often short term), while the

other (HR) focuses more on longer-term programs with few quantifiable short-term benefits, thus

creating potential tensions”.

4.2 Unclear Expectations

Unclear expectations happens when business goal is poorly communicated from top-down. For

instance, when the goal is to offer many training opportunities, the training & development

personnel assigned to the project should come away with a strong justification of why he or she

took the training provider, to find out whether the class syllabus is current and desirable for the

job, the cost is competitive and hence onward. People will act based on assumptions if they don’t

receive a clear delineation of what is needed from them. The above scenario could happen in the

presented case with unclear expectations, HR personnel submitted incomplete justifications

which in return being rejected by the Finance without giving a solid understanding of why it's

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being rejected. The two personnel keep arguing, sending emails back-and-forth and causes a

conflict.

4.3 Personality Differences

Different people have different personality preferences, but the nature of work influenced the

personality of people more (The Economist, 2012). Every personality preference has its strengths

and weaknesses. In this context, understanding individual personality preferences will help

improving the working relationship and conflict in the organization. As previous studies

suggested, the MBTI is useful in improving conflict resolution (Coe, 1992; Hoffman, 2002 and

McCaulley, 2000).

From the case, we can see even the two directors are not talking to each other which also

followed by the followers. Their perception about each other is purely based on individual

characteristics as seen with naked eyes without really understand how to deal or approach them

based on their personality preferences. Understanding individual preferences will improve the

working relationship and helps to remove conflict in the workplace. As discussed earlier,

personality preferences is inborn but individuals can develop traits and habits that differ from the

description of their preferences. This can be achieved by going through the MBTI assessment

and learn how to communicate based on that preference as recommended by the consultants.

4.4 Organization Culture and Subculture

The management team leadership style often associated with organization culture. Great leaders

lead by example. From the case, we can assume the directors do not have a good working

relationship with each other. Both are too focused at their own world and presumably the leaders

are working in silos. This situation created a negative subculture within the organization where

both departments keep things within their own department and demonstrate less interaction with

each other. The team members are strongly bonded to each other, but not beyond their

department.

The case illustrates a great example of a negative subculture where HR and Finance

departments do not employ openness culture with each other and then leads to negative

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perception of each other. It started by the leaders and the unhealthy culture, then replicated by

their followers at the lower level. Beheshtifar & Zare (2013) mentioned that interpersonal

deficiencies are one of the factors influencing negative subculture in an organization. Negative

subculture will not bring any benefits to the organization but will destroy the organization if

intervention is not done immediately.

4.5 Summary

The above discussed justifications are the possible factors contributing to the conflict between

HR and Finance. From a different perspective, other factors may include resource scarcity,

power and conflict, role ambiguity, and so forth. Each individual in the team is responsible for

their behaviors and actions. In the event of unclear situation, ask questions and clarify with the

immediate supervisor. The leaders must demonstrate excellent leadership style as the saying

goes, great leaders lead by example.

5. Considerations when selecting the right Intervention Strategy (pg196)

According to Anderson (2015), in the early stage of OD process, many change agents or

consultants are concerned about their capability in suggesting appropriate intervention. However,

once they are into it, new challenge pops up – too many options to be selected. As mentioned by

(Dyer, 1981), “no matter how solid the diagnosis, it is not always evident which intervention is

the best”. There are many factors that need to be assessed and take into consideration.

5.1 Organization Readiness

Previous studies (Armenakis, Harris & Mossholder, 1993; McLachlin, 1999), refer readiness to

the involvement, willingness, energy, time, capability and motivation of the organization to

change. Any intervention proposal is unlikely to be able to be implemented if the organization is

not ready or willing to change. While other researchers (Dyer, 1981; Schein, 1999) suggested to

start with the change when the organization is willing to change in a certain direction and not

another, or has preference of one intervention over another.

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Organization’s capability and competence to change also affect the readiness for change.

Recalling the earlier example – “Abusing internet access”, if the organization does not have a

budget to invest in new technology like proxy server and content filtering server, the situation

will not improve. Employees will freely downloading unrelated contents from the net since they

are “allowed to”, technically.

5.2 Unmatched Strategy to the Data and Diagnosis

One of the biggest dangers to an effective intervention occurs when the intervention is not

matched to the diagnosis or either the wrong problem is solved or the intervention is not

designed to solve the actual or real problem. It happens when the consultant simply determines

what intervention to be implemented without careful considerations of the suitable method to the

organization’s particular problem. Massarik and Pei-Carpenter (2002) highlighted that most

consultants propose an intervention based on their specialty, without considering what is really

required to address the actual problem.

OD consultants may seek one’s another expertise by discussing the situation with

colleagues or outsiders to verify whether a chosen intervention is the most appropriate for the

situation. The ultimate goal of OD process is to satisfy the client, not the consultant.

5.3 Deciding where to Intervene

Common questions raised by the consultants and the clients are “should the problem be

addressed first at the employee level or by the senior management? Should we begin with a pilot

project in one group or organization-wide roll out? Easiest change to implement or the most

difficult? In an actual OD process, there is no systematic way to begin with. Many researchers

discussed the appropriate starting point in the past.

Previous researchers recommend to start with task interventions over personal or

relationship interventions. According to Schein (1999), the primary task is the most direct

contribution that the consultant has been asked to make. Interpersonal issues should be observed

and only targeted for intervention if the client specifically wants to do so. Then shift to group’s

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tasks and processes such as communication patterns, roles meeting, decision making and so on.

In a different situation, some organization prefers to start with a pilot program before rolling out

organization-wide. The successful pilot project can build client’s confidence and they know what

to expect when expanding the scope in the future. Depending on complexity and the situation of

the problem, the best approach is to properly assess and decide where and how to intervene.

5.4 Sequence of Activities

For a maximum benefit of intervention strategies, the consultants must use their creativity and

expertise to arrange and sequence the activities accordingly. Arranging the activities in order will

help the consultants and the client to appropriately execute intervention strategy. As a guideline,

Beer (1980) lists six considerations for different activities should be sequenced in an overall

intervention strategy;

- Maximize diagnostic data (more data about the organization)

- Maximize effectiveness (build enthusiasm)

- Maximize efficiency (conserve time, energy and money)

- Maximize speed (structured process)

- Maximize relevance (solve the primary problem first)

- Minimize psychological and organizational strain (early action)

By following this, it may help the consultant and the client see the possible interventions and

to prioritize the area that is most relevant to the problem.

The above factors are the key elements to be considered when selecting the right

intervention strategy. Organization readiness to change is the key point for a successful

intervention strategy. Maximum support from the management and the employees are crucial,

otherwise weak intervention strategy will be presented and the bad situation remains at the

current state. This notion is supported by Poulsen, Ipsen and Gish (2013), where management

support as well as participation from the employees influences the overall intervention process.

They also added that the first line management support is the most important level they are the

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one who shall implement the intervention in the daily activities. The management or the leaders

represent the organization who are actually “walk the talk” and “lead by example”.

5.5 Conclusion

Interventions are explicitly designed to accomplish individual and organizational change. As

discussed above, it consists of many phases contracting, data gathering, diagnosis and feedback,

intervention strategy and evaluation. Employees sometimes resist to change due to many factors.

Ethical issues, incompetent consultants, bad experience from previous unsuccessful change,

unclear goals and so forth. Implementing a change in an organization that is not ready is a known

factor for a failed intervention strategy. As a result, the organization suffers from wasted effort,

time, money and low motivation of the employees. The key success of an intervention is to

appoint the right and skilled consultants, maximum support from internal and external parties,

having well planned and structured intervention process. These elements are imperative in

strategizing an intervention strategy, thus ensuring a successful OD project.

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http://www.ibm.com/solutions/files/Y142978L21826Y60/cfo_how_hr_can_take_on_a_bigger_role_in_driving_growth.pdf

Leadership & Management

Organizational Development, OD, Intervention Process (from a case study)