Organisation Development And Changes

Economic Growth and Development of Orgnisation

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Introduction To Organisation Development And Changes

Organisational development and change is the research and development theory of all forms of organizational changes. It focuses on the process and outcome of organizational change at individual, group or any different level by using multiple methods. Report will find out the conflict and the solutions to create balance between basic needs of organization such as economic growth, maintenance and sustainable development. These three needs create challenges for management and affect the development and changes within the organization. Company wants economic growth by improving the market share and carrying out affordable maintenance for the development of sales and profit (Jackson, 2006). How conflicts in the organizational economic growth and development can be balanced and resolved will be explained by the research for the organizational development and change.


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Organizational clash is the state of friction by the actual or perceived opposition of values, wants and beliefs between staff members at the workplace. In the development process of organization, conflicts create barriers to maintain balance in growth, maintenance and development. However, these can be overcome by conflict resolution plans (Worley & Cummings, 2009). These plans will aid the organization to resolve issues within the groups or control of top management.

Conflicts in the three basic needs

In the process of organizational development and change, there are many conflicts that occur and create hurdles for the firm with respect to economic growth by improving sales and maintenance of development by implementing changes. These changes make difference in individual or competitor’s mind and create conflicts (Boonstra, 2008). Here are some conflicts and their solutions:

Personality: In the organization, every staff member has different values and feelings. Difference of morals and perceptions creates conflicts at the work place in terms of maintaining economic growth and development. For the development, every individual needs to put efforts, but clash of personality imposes problems for the management to maintain continuous improvement and development (Burnes & Boje, 2012). It disturbs the process of maintaining balance in the basic requirements and increase challenges for the management. The economic growth of the organization depends on the individual’s performance, if there are problems in the staff co-ordination then there is likely to be an impact on the overall development.

Resources: In the organization, managers might argue over the allocation of resources for economic growth of organization. Maintenance of the firm is to be under the managers by the use of resources. If there are differences among the managers then too this is likely to affect the growth of company. Resources can be defined for the organization as funds or physical goods for maintenance and development (Rothwell & Stavros, 2009). Issues are also towards fair distribution of resources among all the departments for continuous growth and development.

Changes: In the current scenario, organizations are implementing changes at different levels in order to manage their work and overall development. They are introducing technology and machinery for faster and accurate work. These changes are required for stability in the growth, maintenance and overall development. However, these changes are creating conflicts in the management as staff members resist implementing these changes which affect their position within the organization. For continuous growth in recent times, use of technology is very important. This will help to produce quality goods in shorter time period (Judge & Douglas, 2009). The attitude, behavior and degree of knowledge of every staff member will affect the process of sustainable development through economic growth of the organization.

Division of labor: In the organizational theory, division of labor and roles create differences at the work place. There are mainly three major reasons for conflicts such as occupational specialization, changing tasks and use of machineries. Company suffers from the lack of productivity, monotony and lack of mobility. Organizational growth and development is further affected due to monotonous environment (Kilkelly, 2014). If employees are not familiar with the job and project then this will generate a situation of conflict with management and create barriers in the development process.

Decision making: The contingency theory of decision making is implemented for the improvement in the quality of decision and acceptance. This creates some conflicts regarding process and leadership. The amount of disagreement on the development decision generates choices of alternatives for effective decision making. It is a big challenge for the leader to make decision in order to maintain equilibrium in the organizational process to achieve economic expansion, maintenance of resources and overall development. It has been argued that leaders have the authority to make decisions or judgment in the economic growth and development (Alexander, Andrea & Ellinger. 2014). Other staff members cannot take part in this procedure.

External factors: In the organization, factors like economic pressure, completion policies and market change create conflicts in the workplace with clients, suppliers and customers. This affects the rate of growth and creates pressure followed by increasing the demand for change. Government policies of funding and taxes generate political force and the condition of argument in public or non-profit organization. In the growth and maintenance, involvement of government interface is essential, but political pressure creates fraction between firm and government department.

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Ethical issues: The economical growth increases the liquidity of money and devalues the morale of individual and organization. It makes the situation of monopoly in market and creates condition of conflicts among suppliers, customer, etc (Greg & Latemore, 2013). New economic activity results in changing environment, culture and trade policies of organization. The use of ethical polices has stopped the monopoly of organizations and this leads to creation of clashes between organization and corporate governance. It harms the image of organization and creates barriers in the growth and development.

Consumption: Organization has been found to use the resources for profit making and not considering its value for the future generation. It creates conflicts among society and organization. Wealth making organizations are consuming high degree of natural resources for their personal benefits. This is a big issue for the society and organization to maintain balance in basic requirements and meet stable environmental conditions for the development of both. The level consumption of resources and production drives the economic growth of organization. Corporate governance has considerable involvement of society, which monitors the usage of resources (Sullivan, Roland & Mary Jane Balasi, 2013). Ecological modernization has been addressing conflict between economical growth of organization and environmental protection.

Environmental issues: Sustainable development is the objective of organization. For achieving it they affect the environment in form of air, noise and water pollution. This is not in favor of society and environment and is the big issue of conflict since long time where people fight against organizations. For maintaining the market share and growth, organization is polluting the climate and deteriorating the surroundings. Use of transportation vehicles and smoke from the chimneys are increasing the CO2 level and damaging the natural conditions (Smith & Kuth, 2009). This will create problems in future and pose challenges for the leaders to maintain balance in the basic needs of the organization. It will create hurdles in maintenance and development of organization. Environmental issues cannot be avoided easily and have to be managed at the time of requirement for further improvement.

Goals and priorities: In the international trade, organization has different goals and priorities for the economic growth and development. In order to achieve them, they plan and make the required strategies. But these plans and priorities do not match with others and create disagreements for the procedures and ways of achieving them (Bryson, 2008). This can be internal, among employees and management or external, among customers and political situations. They all want to fulfill their needs and force the organization to make changes in the defining process and goals.

Solutions for avoiding conflicts

For the organizational development and maintenance, there is a need to avoid the conflict conditions to craft economical growth and perform their task smoothly and effectively. Here are some key facts to avoid conflicts.

Compromise: Organization can overcome the differences by compromising or adjusting with the conditions to make sure their image will not be damaged by their way of trading and profit making policies. For the environmental benefit, organization can use the resources for the limited purpose and apply ethical policies to sort out the conflicting situations (Ten Causes of Conflict, 2013). This activity will help the organization to maintain balance in the basic requirements and overcome the challenges for leaders. They can ask for co-ordination and support of all the other organizations to make mutual agreement for environmental betterment.

Communication: It is the master stroke for avoiding the conflict conditions. Effective communication at different organizational levels will help to avoid such situations. Manager and employees can support the organization by understanding and providing information for growth and development policies. Implication of government policies and environmental benefits to make balance in the economic growth, maintenance and development is important (Sustainable development, economic growth and environmental degradation, 2013). Clear and effective statement for the plan and policies help the organization to design fair and effective ways to meet every individual need.

Training: Proper training and development program plays a significant role to overcome the personal conflict problems at the workplace. This will help the individual to control his/her emotions and work according to the task and organizational objectives. This will also help to understand the behavior of other staff members and make positive and healthy environment for achieving sustainable development and maintaining the culture of organization.

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Responsibility: By understanding the responsibilities and fulfilling them on time will make the condition in the favor of organization. They can maintain good relation with the society and government by providing benefits and implementing things which help in the betterment of the environment and resources (Jackson, 2006). By following the rules and regulations that are made to create balance in the three basic needs of organization can be fulfilled by accomplishing responsibility towards the society. Assignment of roles and responsibilities will aid to make growth in market and improve the performance in the industry. However, the policies of environmental betterment followed by the organization become inefficient after some time and need changes from time to time.

Leadership: For the maintenance and continuous development, organization needs effective and positive leadership which would help them to make healthy environment and relations. This will further aid the firm to avoid conflicts and build strong bonding in the organization. It will help the organization to formulate good procedure to achieve the goals and fulfill the needs of every individual. The leader will have to be very dynamic and motivating so as to meet the expectation of staff members and avoid the conditions of conflicts (Boonstra, 2008). A good leader will lead the organization to improve economic growth, maintain relations and overall development.

Classical theory for avoiding conflicts: The main idea of the classical theory is implementation of principles that define the values and ethics for development of organizational culture. Decision making and role assignment help to maintain the image of organization and provide support to achieve their economic growth and overcome the situations of conflict at workplace. Strong elements of common sense and stress management training build strong values to concentrate on goals that organization want to achieve and develop their market (Rothwell & Stavros, 2009). Balancing the situation and understanding the importance of principles, which are made for the benefits of organization will make all stakeholders behave ethically and contribute in the organizational betterment. These activities help to meet the economic growth with the help of resources to achieve sustainable development.

Contingency theory: To maintain the organizational structure and effective decision making, this theory will help the management to motivate the employees and improve skills to expand growth. Use of technology in the production and service delivery will avoid conflicts at workplace, aid organization to make effective co-ordination and develop the passion in staff members to make efforts not fractions (Kilkelly, 2014). This theory will make major difference to manage relation and meet the desired development and growth.


From the above report, it is concluded that the conflicts create barriers in the economic growth, maintenance and development. These conflicts are personal, environmental, ethical and changes which can be avoided with the help of effective communication, leadership, training and responding to responsibilities. These support the organization to improve growth and maintain image and craft development for expanding the market share.


  • Alexander E., Andrea D. & Ellinger. (2014). Leveraging human resource development expertise to improve supply chain managers' skills and competencies. European Journal of Training and Development.
  • Boonstra, J. (2008). Dynamics of Organizational Change and Learning. John willey & sons publishes.
  • Bryson, J. (2008). Dominant, emergent, and residual culture: the dynamics of organizational change. Journal of Organizational Change Management.
  • Burnes, B. & Boje, D. (2012). The Routledge Companion to Organizational Change. Routledge publishes.
  • Greg M. & Latemore. (2013). Research in Organizational Change and Development. 18. Leadership & Organization Development Journal.
  • Jackson, C. J. (2006). Organization Development: The Human and Social Dynamics of Organizational Change. Indian university publishes.
  • Judge, W. & Douglas, T. (2009). Organizational change capacity: the systematic development of a scale. Journal of Organizational Change Management.
  • Kilkelly, E. (2014). Creating leaders for successful change management. Strategic HR Review.

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