Organization Development and Organization Design Differ

Morrison also notes in his article that the question of whether Organization Design or OD comes first in the transformation process is one that is frequently debated in the Business Transformation sector (Organization Development). The analogy used by Naomi Stanford, which is mentioned in Morrison's article, clearly illustrates the distinction between design and development.

"Organizational design consulting is first deciding whether the car you are about to design is intended to cross a desert, for example. Is it to triumph in an F1 race? Is it to bring three kids and two adults to a party? then creating and providing a car that is appropriate for that use.

Organizational development entails maintaining the vehicle in the state required to fulfil the purpose, such as by using the proper fuel, having it serviced on a regular basis, teaching the driver how to operate it to maximise performance, and so forth.

The first step in explaining organisational design and development is deciding what the purpose and function of the business are. This is the Organization Design portion. The organisation development, or OD, part of the process involves deciding how to maintain the purpose and function.

How do we distinguish between the two now that we are aware of their differences? Simple solutions exist. Organization Design, also known as OrgDesign, and Organization Development, also known as OD, are both essential elements of a comprehensive strategy for business transformation.