Examples of Organizational Development: 6 Best Practices
Close your eyes for a moment and imagine organizational development (OD). What do you see? Perhaps your vision is growth. Or, it could be a necessary change. It may even be an unavoidable change. No matter what your vision for OD looks like right now, it is vital for companies to fully grasp the process. Examining a few examples of organizational development can provide a better understanding of its intricacies and importance.
What is Organizational Development?
To put it simply, organizational development is a structured process for improving a company through employee and business performance, culture, and change management. At Right Fit Communications, the focus of OD is on leadership development, employee effectiveness, and systems optimization. The primary goals are to drive growth and efficiency, and to foster a culture that exudes positivity.
Real-Life Examples of Organizational Development
Let’s consider some examples of organizational development to obtain a full picture of OD in real-life.
1. Change Management: Forced Digital Upgrades
Because of Amazon’s success, many retailers have had to make major changes in their own online experiences. Look at Walmart and Target for clear examples of organizational development. Now, apps make shopping simple, and free shipping is earned at a relatively low threshold. The change may not have been simple for the organizations, but they have experienced success.
2. Leadership Development: Improved Trainings
Microsoft has a clear understanding that bringing up new leaders is crucial to the future of the company. With an 8-week internal training program called Exploring Leadership, Microsoft develops leaders prepared to take on more responsibility. Improving leadership skills is necessary for growth.
3. Business Performance: Discontinued Products
There are times when a product doesn’t perform as planned. HP is one of many with this experience. The Touchpad, launched in 2011 to compete with the iPad, was a spectacular failure. 49 days after the launch, HP discontinued the product and sold remaining inventory at a massive discount, slashing the original price of $400 to just $99. Knowing when to make changes to increase sales or when to quit altogether is crucial to an institution’s future.
4. Culture: Creating a Culture We Love
In 2013, HubSpot implemented Culture Code, which the company calls “part manifesto, part employee handbook.” The document outlines the company values and demonstrates transparent communication. HubSpot offers company-wide Q&As where employees can ask leadership any question. They share financial data and internal survey results with the entire organization. With a high level of transparency, HubSpot breeds trust among its people.
Best Practices from Examples of Organizational Development
In the examples of organizational development provided, there are common themes. These themes can be extracted to determine some of the best practices of OD. Best practices include, but are not limited to, the following.
- Connect the strategy with the mission.
- Implement data-driven decision-making.
- Make leadership pipelines a priority.
- Establish high employee engagement levels.
- Encourage innovation and creative thinking.
- Be transparent.
These practices can help those establishing OD to create a thriving business. They can help carry your company into the future.
OD and the Future
A 2017 publication of the OD Practitioner, now known as the Organization Development Review, indicated four areas in which OD would see trends. An increase in platforms over products, a transformation from mechanical to digital, the use of data insights, and seeking talent over employees. These trends seem to extend to the present and future, with the addition of using AI.
A 2024 Forbes article suggested using AI to personalize leadership training and needs. The use of artificial intelligence will rise across all areas, including OD. Change is constant, and businesses must be prepared.
Change vs. Development
Some examples of organizational development may seem to suggest that change is the answer to all obstacles. It is important to understand the difference between change and development. The Merriam-Webster dictionary defines change as “to make different in some particular way or aspect.” Alternatively, development is defined as “the act, process, or result of developing.” To develop is “to create or produce especially by deliberate effort over time.”
Based on the definitions, change is not always purposeful or positive. A change could be moving backwards. On the other hand, development involves a plan of action to reach a desired result. Development is always motivated and forward-reaching. Move into the future with purpose and intent.
Conclusion
With many available case studies to learn from, choosing just a few examples of organizational development is the best way to get started. Implementing the lessons learned can help companies develop on a higher level. If your company needs a helping hand, Right Fit Communications is prepared to put you on the right track. You can count on Right Fit Communications to focus on achieving best-in-class positions within your industry. Reach out today to get started on your future.