Organisational Development Initiative (ODI)
 

Till the introduction of financial sector reforms in RRBs such as incremental Non-Target Group lending, recapitalization to strengthen their balance sheets, application of prudential norms; extention of functional autonomy and operational freedom, RRBs were highly regulated organizations. They were being regulated by GOI/RBI/NABARD besides their respective sponsor banks and thus by nature they were supply driven organizations. But with the gradual introduction of reforms, the RRBs have become demand/market driven organizations which necessitates a change in their attitude and functioning. As there exists a general tendency to resist change at individual and organizational level, the Organizational Development Initiative (ODI) process was consciously introduced to enable them to cope with the changes in a better manner.

OD Conceptualized

The intervention is carried out with the conviction that "ODI is basically a people process where interpersonal conflicts are minimized to create a relatively cohesive homogeneous human mass (Human Resources) capable of diagnosing the problems and solutions besides acting upon the same for the overall growth of the organization in a creative manner."

Methodology

Broadly, ODI can be carried out in six methods viz. Sensitivity training (T group), Survey feed back, Process consultation, Team-building, Inter-group development, and appreciative inquiry.

Since ODI is a flexible change management tool, it has to be adapted in conformity with the requirements of each institution. BIRD's intervention is not limited to any one of the above methods. Methodology adopted by BIRD include a combination of methods such as T group Team building-Inter group development, Survey feed back- appreciative inquiry. The intervention is done based on some commonly accepted beliefs such as mutual respect for people, trust, participation and support of people, power equalisation (i.e. least emphasis on hierarchical authority) besides a human process encompassing confrontation and participation.
As it is a comprehensive intervention, it is usually conducted over a period of 3-4 years in three distinct phases as per NABARD guidelines, a gist of which is given in the following table (Table 1.1).

 
Table 1.1
ODI phase Objective Period Expected outcome/s
Phase I
The ODI process envisages capacity building of staff in the bank through OD intervention, training, exposure visits and developing internal change agents in the banks coupled with adoption of information technology for improving system efficiency within a given time frame of five years First intervention to be followed up after six months by a visit by a facilitator for 3 days

-Sensitisation of CEO

-Diagnosis of the organisation status and concerns

- Finalisation of Vision and Mission Statement

-Preparation of action plan

-Formation of Monitoring Committee

-Revisit the action plan.
       
Phase II

1.To explore the extent to which the first intervention has produced the intended result;

2.To see how far the enthusiasm aroused during the first phase had been sustained

3.To give a booster to the bank to activate the staff of the bank to arrest declining enthusiasm, if any and contact with each other in the progress of organizational renewal.

After 18-20 months of first intervention

To be followed up after six months by the facilitator by a visit for 3 days

-Revisit the Vision and mission statement

-To re-energize the process parameters to translate the action plan into reality.
       
Phase III

1. To examine the pros and cons of first two interventions with the follow-up visit and its impact on bank's business parameters and process parameters

2. To find out the critical constraints/parameters which are inhibiting /restraining the growth of the bank

3. To find out the driving forces which are pushing forward the movement of the bank to achieve the target as envisaged in the project.

To be taken up after 37-40 months as final intervention

-To assess the impact of ODI in respect of soft parameters as well as hard parameters

-To redo the SWOT analysis in the changing circumstances and identification of constraints with possible solutions

-To identify the enabling factors that have facilitated the growth of the organization.
       
 
 
Detail of ODIs ...
 Areas of Core Competence
•

Organisation & HRD.
•
Information Technology &
Banking .
•
Microfinance & Gender Development.
•
Small & Micro-Enterprise Development & Financing.
•
Financial & Investment Management.
•
Agricultural Project Finance.
•
Turnaround Strategies - RFIs.
•
Rural Branch Management.
•
Trainers' Training.
 
 Collaboration
BIRD has functional
collaboration with a few national and international institutions of repute for Training.
more details ...
 
 Seminars / Conferences /  Workshops
BIRD has a mandate to play the
role of facilitating policy debate
in the area of Rural Credit and
microfinance.
more details ...