INVESTING IN PEOPLE
'The only irreplaceable capital an organisation possesses is the knowledge and ability of its people. The productivity of that capital depends on how effectively people share their competence with those who can use it!' (Andrew Carnegie)'Organisations ... are nothing more than networks of human relationships. If these networks do not function effectively, there is nothing with which to perform the tasks to be accomplished.' (Edgar H. Schein: ' Process Consultation')
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The essence of an organisation |
The importance of finance, plant and specialised skills to an organisation encourages its members to overlook its crucial factor: the capacity of its human capital — the ways in which the shareholders, employees, their families and friends, suppliers, customers, visiting officials and so on relate to one another. Consequently, what are often categorised as production, marketing, finance, engineering, technological or legal difficulties, may prove fundamentally to be 'people problems'. |
Organisation Development (OD) |
This is a self-perpetuating process of change that takes place spontaneously and often goes unnoticed. It may, however lead to difficulties that demand a more formal process of change. This may include new ways of looking at old problems, challenging complacency and customary practices, as well as a team building programme that aims to integrate each team with every other team. Although it may entail some internal re-structuring, it need not – because it is effected by the organisation itself – involve the kind of major disruption that sometimes follows intervention by specialised consultants. Possible improvements are proposed, discussed, planned and carried out by the people who comprise the organisation, with the full consent of everyone likely to be affected. |
The first step |
Every organisation is unique and there is no standard method for improving its effectiveness. But the formal development process begins with an open-minded survey to discover what may be its under-used human capacity. Often, the people who comprise the organisation intuitively know what is causing problems, but they may not know that they know! The OD consultant's function is to help them know that they know. |
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If people in the organisation are saying, or even thinking ... |
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there is clearly a need for a formal organisation development process! But the process is most likely to achieve its purpose if is commissioned by a senior executive or director who has identified a particular difficulty (or more than one perhaps). |
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Beneficial, fundamental change requires time, patience, genuine commitment, some trial and error, as well as an aversion to 'quick fixes' and fashionable theories. None the less, the process is likely to lead to:
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