Organization development refers to the successful change in an organizational performance. However, in an organization change is required to influence the worker behavior and motivation process. In order to bring development in an existing system, change is crucial in an organization. Chang is associated with the improvement of knowledge management, learning process and organizational values and norms (Woodcock, 2017). Organizational development is associated with the ongoing systematic process to implement effective change in the organizational system. This study deals with the organizational development in the context of IGA store, which is a U.S based grocery store.
Organizational developmental needs focus on the requirements to meet the future needs of an organization. However, IGA is a U.S based grocery stores and it is operating in many small towns of various countries. In Australia IGA has stores and it is operating as a franchise. In the recent years, huge competition is the major issue for IGA in the global market as well as in Australian supermarket segment. Aldi and Woolworths are the major competitors of IGA in Australian grocery market (News.com.au, 2017). In order to compete in the global market, IGA needs organizational development.
Skill development need is one of the major needs of organizational development. In order to gain competitive advantages, it is crucial for an organization to identify the training need of the staffs (Bolman & Deal, 2017). In the context of IGA store, they are facing huge competition in the global market. For this reason, they need to improve the knowledge of the employees and enhance their learning ability. However, training includes workshops, general management training, and conduction of the learning program to understand the skill gaps of the employees. IGA needs to invest to establish the learning needs to achieve a better outcome from their business. Organization of the training in a planned process will be helpful for IGA to meet the learning needs of the employees. One of the most important skills that need to develop is the communication skill. However, the training process within the IGA should focus on the development of the communication skill of their staffs. This will help the staffs to focus on the effective communication with the customers to enhance their marketing process. In order to identify the organizational development it is important for IGA to conduct an external audit by the help of audit agencies. Such external agencies will be helpful to reveal the exact needs of the organizational development.
Product innovation is crucial to gain competitive advantages in the international market (Baumgartner & Rauter, 2017). However, IGA is a grocery store and offers a variety of grocery products to the customers. Hence, bringing innovation in the product feature will make them unique in the global market and lead them to achieve significant success in the business. Product innovation is associated with the analysis of different kinds of information to understand each element of the product development (Serrat, 2017). In the context of IGA, product innovation enables them to carry out market research, target market analysis, identification of the customer preference, use of technology and assessing the manufacturing capabilities. Those ensure the organizational development. Innovation in the food products like in the drink, which is an essential part of the daily life, will be helpful for IGA to improve their business. Production of organic dink will be a new innovation for this organization, which can enhance its business in the global market and the customer domain that are health conscious. Involvement of the third party will be helpful to identify the skill based activity. However, audit process via external agencies will be helpful to reveal the efficiency of the skill of the employees within IGA.
Work process analysis is another need for organizational development as it allows the organization to bring change in the operation process (Serrat, 2017). Measuring the quality control process will increase the efficiency and accuracy of the work. In order to analyze the work process KPI will be helpful for IGA (Key performance indicator). This will be effective to measure the performance of the employees during their work.
Review of the existing practice and implement of the new policy regarding the workplace are vital for the organizational development (Woodcock, 2017). However, IGA focuses on the good quality food and they try to offer quality food at a reasonable rate. Hence, adoption of the environmental sustainability policy will be effective for such organization to provide service with environment information. This may help them to achieve sustainable development in their business. In order review the existing business process proper monitoring by creating proper documentation will be required. On the other hand, IGA should analyze the business process by reviewing the product outputs, profit margins and performance analysis.
Communication plan is an important change management technique. However, it will help IGA to motivate the employees and to implement changes in an organization. Establishing a change management framework and collection of the authentic data is important for the implementation of change (Van der Voet & Vermeeren, 2017). Collection of the data enables IGA to find the risk, competition, and opportunity in the current market. Force field analysis highlights the change problem in order to tackle them. On the other hand, culture mapping and devise a project plan are crucial, as culture mapping will help IGA to establish it organizational value, norms and practice while project plan gives an idea of new change management.
For IGA it is important to give information to in consultative process as it will help the stakeholders to understand the change management process. This will allow the employees to identify the areas which need to be improved. On the other hand, information needs to gather from market research and collaborative work is required to implement changes in the organizational development of IGA. Apart from this, the involvement of the stakeholders in the decision-making proves will be effective to enhance the consultative process. Providing empowerment to the employees is an effective process to involve the stakeholders in the decision making process (Ezeuduji, 2017).
Employees waste their valuable time to fight each other in the workplace. Thus, for IGA it is crucial to manage the conflict in the workplace to increase the productivity. On the other hand, often the misunderstanding occurs between the management and the employees that hamper the workflow in an organization. Hence, conflict management will establish a good communication between the employees and the management of IGA. Conflict management also helps the business managers to establish a good relationship between the employees and the management. This will enhance the efficiency of the work and is effective for the organization to meet the business goal (Ashkanasy & Dorris, 2017).
Work division is one of the main principles of Fayol’s that highlights if the employees are specialized for a particular work then their working efficiency will be increased (Ehrhart & Kuenzi, 2017). For IGA it is crucial for the employees to maintain the discipline in the workplace as it is required for the organizational development. Unity of direction is another important principle of Fayol’s that will allow the employees to work on the same objectives under the direction of one manager. Remuneration will be effective for IGA to satisfy their employees as employee satisfaction is closely related to organizational development. Maintenance of the equity in the workplace is required for IGA, as managers of this organization should fair with their employees to increase their efficiency. Application of Fayol’s management principles will be effective for IGA to develop a positive work culture in their organization. Therefore, this will be act as an effective tool for the employee motivation.
IGA is a multinational company hence, in order to get new entry, a new market of a foreign country needs the green signal from the government. On the other hand, the introduction of the new regulation by the Australian government may resist the organizational development as well as the implementation of the new change in IGA stores. However, often government introduces special tax in the foreign business. This will create difficulties for IGA to expand their business outside of their own country (Rofcanin, Las Heras & Bakker, 2017).
Adhocracy culture is an important type of organizational culture as it provides a dynamic environment in the workplace. In this culture, a long-term goal has been established to create new resources (Ashkanasy & Dorris, 2017). Market culture is another effective organizational culture. In this culture, the employees become competitive and focus on their targeted goal. Hierarchy culture focuses on the structured environment of an organization Coordination is the main aim of such culture. Clan culture is a friendly organizational culture focuses on the tradition and the loyalty. This culture aims to develop the long-term human resources. However, in this organizational culture, the needs of the customer is defined and effective service is provided. Normative culture highlights strict regulation in the workplace. However, the employees have to comply with the organizational policies in a proper way. Therefore, Academy culture includes high skilled employees. However, this culture leads the employees to feel respected in their workplace (Van der Voet & Vermeeren, 2017). Increased training is the major aim of such culture. In the context of IGA they should follow clan culture as it will enable them to understand the customer need, which is crucial to bring development to the organization. By following the clan culture IGA will be able to enhance their customer loyalty. This will enable them to meet the needs of the current market and also allows them to retain the existing customer and get new customers.
The aim of the organisational developmental plan is to gain competitive advantage and in the long run become the market leader and in order to achieve this plan some of the points that have to be considered are:
In this theory he has explained that there are two types of changes that are prevalent in an organisation:
IGA is a grocery store, which requires developmental plan to achieve the competitive advantages in the global market. It has been observed that the company requires skilled labors; hence this is the first step that is required to be taken towards organisation development. This will improve the existing skill of the employees and allow them to compete in the global market. On the other hand, product innovation will enable this organization to make their business unique in the international market. However, for this reason, a particular market research is required. Apart from this organizational operation percess needs to be improved to bring a good working culture in this organization. Financial resources and workforce are required to be managed in a proper way. The development plan that has been described above is a combination of the two types of changes that are discussed in the theory produced by Burke-Litwin.
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News.com.au. (2017). AUSTRALIA’S love affair with Aldi may be waning as a resurgent Woolworths finds its mojo and IGA’s decline accelerates. Retrieved 15 November 2017, from https://www.news.com.au/finance/business/retail/aldi-momentum-slowing-ubs-says/news-story/0e0fe8865c6619b837f31034450e53a2
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