After reading this article you will learn about Organisation Development:- 1. Concept and Scope of Organisation Development 2. Organisation Development Characteristics 3. Components.

Concept and Scope of Organisation Development:

The concept of organisation development and its audit is still an emerging field.

According to Keith Davis, “Organisation development (OD) is an educational strategy which focuses on the whole culture of the organisation in order to bring about planned change. It seeks to change beliefs, attitudes, values, and structures—in fact, the entire culture of the organisation—so that the organisation can better adapt technology and live with the pace of change”.

So, audit in relation to O.D. is a subjective process rather than an objective one. O.D. Audit seeks to identify, review and evaluate how the planning efforts were made, directed and implemented:


(i) To achieve organisation goals,

(ii) To develop new forms and

(iii) To improve technology, etc.

This kind of audit, as distinguished from traditional audit approach, examines and appraises in a systematic manner the whole gamut of technical system and socio-organisational relationships to ascertain how and to what extent the organisation has been successful to minimise ‘group-conflicts’ and develop effective informational systems, and to offer alternative better solutions if possible.


O.D. audit, thus, “seeks to build problem-solving capability by improving group dynamics and problem confrontation. In short, it reaches into all aspects of organisation culture in order to make it more humanly responsive.”  

Organisation Development Characteristics:

1. Problem diagnosis: Identification of the system or sub-system where change is pertinently necessary and of their relationships and underlying social rela­tions.

2. Strategy development: Giving special attention to: individuals, sub-systems and the total system, keeping in view the organisational goals and objectives.

3. Programme implementation: Choosing a system or sub-system, ascertaining the pre-requisites and then implementing the change programme.


Organisation Development Audit Components:

1. It scrutinizes the considerations and tech­niques employed, viz., employee survey and feedback system.

2. It evaluates the appropriateness of strategy in relation to the organisa­tional goals and objectives.

3. It examines the pre-requisites, reviews the progress of programme, tests rel­evancy and assesses its effectiveness and accomplishment.