Organisational development why, when, how?

Organisational development is as much a key to success and a necessity in today's economic environment as it was in the past. Whether problem-solving or proactive, well-designed organisational development can result in a 15-30% increase in productivity and a 20-40% reduction in turnover. Coaching is a crucial part of the process to ensure that changes are sustainable. CoachLab's experience shows that the investment pays off in 12-18 months and creates an organisational culture that is able to adapt to the challenges of the future. Don't wait until a crisis - proactive improvements bring the best results.
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Organisational development why, when, how?

Director Tibor woke up on Monday morning to find his team "on fire" again. Their project from last week was behind schedule, two key staff members had resigned in the past month, and he heard the phrase "I'm sorry, I'm not a team player" more and more often in team meetings: "It's not my job." But the company is doing well, the numbers are good, the orders keep coming in. Yet something is not right.

As an HR manager, Zsófia is faced with the fact that although turnover is not yet critical, the results of the employee satisfaction survey are slowly but steadily deteriorating. There is a lack of communication between teams, decisions are slow to be made, and more and more she hears in the corridors, "Nobody knows what the hell is going on."

Are these situations familiar? If so, you probably know the organisational development could be the solution your company needs.

What is organisational development?

A organisational development is a comprehensive, planned process aimed at improving the efficiency, performance and health of the organisation. It is not a one-off intervention, but a long-term, systemic approach that involves all levels of the organisation - from staff to managers to processes and culture.

One case of many:
K.. and Partners Ltd. is a logistics company with 80 employees that has grown steadily, but with its growth has sunk into chaos. During the **organizational development** it turned out that the problem was not with the staff, but with the fact that nobody knew exactly who was responsible for what. In six months, roles were redefined, transparent communication channels were put in place and coaching was used to develop leadership skills. The result? A 40% reduction in the error rate and a 25% increase in employee satisfaction.

A organisational development basically three main pillarsconsists of:

  1. Developing people - skills, competences, attitude
  2. Process optimisation - workflow, communication, decision-making
  3. Shaping culture - values, norms, behaviour patterns
Organisational development why when how
Organisational development why when how

Why is organisational development useful?

The statistics speak for themselves. The loss of GDP caused by workplace stress in Hungary is estimated at HUF 1,000 billion a year, which shows how important it is to keep workplaces healthy. Poor organisational culture and functioning not only takes its toll on people, but also represents a serious financial loss.

The results that make it worth doing:

Measurable business results:

  • 15-30% Productivity growth
  • 20-40% Fluctuation reduction
  • 10-25% cost savings
  • Faster decision making and problem solving

At staff level:

At executive level:

  • More effective leadership
  • Easier conflict management
  • Developing strategic thinking
  • Saving time in daily operational tasks

Why now?

The fast-changing economic environment has dampened the appetite to start a business, which means that existing firms need to compete even more effectively in the market. Developing your organisation now will give you an advantage over your competitors.

Organisational development, but when?

A organisational development timing is key. But there are some clear signs that it is time for change:

Urgent signs - act now:

At people level:

  • High turnover (above 20% per year)
  • Frequent conflicts between teams
  • Low employee satisfaction
  • Burnout symptoms appearance

At the operational level:

  • Continuous fire mode operation
  • Slow decision-making
  • Recurring errors and problems
  • Poor internal communication

At business level:

  • Stagnating or declining performance
  • Increase in customer complaints
  • Projects regularly delayed
  • Cost increases without efficiency gains

Signs of proactive development:

  • Before rapid growth or expansion
  • New market entry
  • Major technological shift
  • Generational change in leadership
  • After a successful period, to move to the next level

<div style="”background:" #e8f5e8; padding: 15px; border-left: 5px solid #4caf50; margin: 20px 0;”> <strong>Tip from the field:</strong> Don't wait until the situation becomes critical! The best **organizational development** projects start when the company is still going strong, but they see room for improvement. </div>

Organisational development why when how
Organisational development why when how?

For whom is organisational development recommended?

Small and medium-sized enterprises (10-250 persons)

For these companies we particularly recommend organisational development, because:

  • They can change and adapt quickly
  • Personal connections make it easy to transfer innovations
  • The personal development of the owner/manager can have a big impact
  • Big results can be achieved with relatively little investment

Large companies (250+ people)

  • Optimising a complex organisational structure
  • Improving cross-sectoral cooperation
  • Culture change on a larger scale
  • Leadership development at several levels

Specific industries where it is particularly effective:

Services sector: IT, consulting, marketing - where human capital matters most Production: Where teamwork and efficiency are critical Health: Burnout prevention and quality improvement Education: Improving organisational culture and motivation

Organisational development why when how?

How does organisational development take place?

The steps of organisational development

A organisational development is not a chaotic process, but a well-structured, step-by-step method. Here is how we, the At CoachLab we used to do:

1. Diagnosis and situation analysis (2-4 weeks)

Before we do anything, we need to understand exactly what the situation is. It's like going to the doctor - you're examined first, then you're given medicine.

What we do:

  • Interviews with leaders and key people
  • Employee surveys (anonymous)
  • Process overview
  • Measuring organisational culture
  • Performance data analysis

2. Setting objectives and priorities (1-2 weeks)

Based on the diagnosis, we set clear goals. We don't solve all problems at once - that wouldn't work anyway.

3. Development plan (1 week)

A detailed timetable of what we will do, when and how. This includes the coaching elements, training, process improvement.

4. Implementation (3-12 months)

This is where the real work happens. In our experience, the best results are achieved when you go step-by-step and incorporate every change thoroughly.

5. Evaluation and maintenance (ongoing)

The project is not over when we finish the last training session. The real success is in sustainability.

Organisational development why when how?

The role of coaching in organisational development

A coaching not an additional element of the in organisational development - but one of the most important tools. While training courses and workshops transfer knowledge, the coaching helps to ensure that this knowledge is actually integrated into everyday work.

Why coaching?

  1. Personalised development: Every manager and staff member faces different challenges
  2. Practical application: During coaching we work on real workplace situations
  3. Long-term change: Coaching helps to establish new habits and mindsets
  4. Developing autonomy: The goal is not dependency, but to enable employees to solve problems themselves
👥 Coaching in organisational development:
  • Executive coaching: Strategic thinking, team leadership, decision-making
  • Team coaching: Cooperation, communication, conflict management
  • Individual coaching: Personal effectiveness, stress management, motivation

What does organisational development look like in practice?

Let's take a concrete example - a marketing agency of 45 people, where the organisational development and coachinghave been combined:

Situation before the project:

  • Projects 60%-a delay
  • Tension between creative and account teams
  • Overtime and stress are commonplace
  • Customer satisfaction score: 6.2/10

What we did:

Weeks 1-2: Diagnosis

  • 1:1 interviews with managers
  • Group discussions with the teams
  • Mapping workflows
  • Analysis of communication channels

Week 3-4: Quick wins

  • Introduction of daily standup meetings
  • Clear assignment of project responsibilities
  • Laying down communication rules

Months 2-6: Coaching intensive

  • Executive coaching for senior management
  • Team coaching for the creative and account teams
  • Conflict management coaching
  • Presentation and communication coaching

Months 6-12: Culture change

  • Developing new values and standards
  • Establishing a regular feedback culture
  • Launch training and development programmes

Results after 12 months:

  • Projects 85% projects completed on time
  • Customer satisfaction: 8.4/10
  • Employee satisfaction up by 40%
  • Overtime reduced by 50%
  • 2 new big clients through the recommendations

What do we need to know about organisational development?

For the company as an organisation:

Preparing for change is key. A organisational development a lot will change - processes, communication, roles. This can be confusing at first, but in the long run everyone will be better off.

Without leadership commitment, you can't. If top management is not behind it in 100%, it is pointless to get involved. Change starts at the top and flows down from there.

Patience is needed to get results. The first positive changes can be seen in 2-4 weeks, but real, deep changes take 6-12 months.

For the workers:

It's not about your mistakes. A organisational development it's not about poor performance. Rather, it is about making the conditions even better.

Active participation is required. It is not enough to wait for "they will do it for us". All opinions, ideas and feedback count.

Training and development opportunities. A organisational development there are plenty of learning opportunities - it's worth taking advantage of them.

Will your work change?

Yes, but in a positive direction.

What will change:

  1. Clearer roles: Everyone will know exactly why they are responsible
  2. Better communication: Less misunderstanding, faster flow of information
  3. More efficient processes: Less time wasted, more results
  4. A more supportive environment: Better team spirit, helping each other

What will not change:

  1. The basic jobs: The core tasks remain
  2. The professional requirements: Expertise will continue to be needed
  3. Individual responsibility: Everyone remains responsible for their own work
⚠️ Important: The goal of **organisational development** is not to get you to work more, but to get you to work more efficiently and with less stress.

Will your work stop?

The clear answer is NO.

A organisational development aims the opposite - to make existing jobs more stable and sustainable. Some roles may be transformed, but this does not mean job losses, but job growth.

What this means in practice:

  • You may be assigned new tasks
  • You may have to do the same thing differently
  • You may have to work with another team
  • But your work will be more secure, not more precarious

Our experience shows that in companies where successful organisational development have been carried out, usually new positions have been created because of growth.

Will your work be better and easier?

Yes, and it's not just us saying it, the statistics show it.

Short-term improvements (1-3 months):

  • Less misunderstanding and confrontation
  • Clearer roles and expectations
  • Better information flow
  • Less "fire fighting"

Long-term benefits (6-12 months):

  • Lower stress levels
  • More recognition and feedback
  • Development opportunities
  • Better team cohesion
  • Higher payment opportunities (successful companies are better able to reward work)

Why it gets easier:

  1. Less duplication of work: Everyone knows who does what
  2. Faster decisions: No need to wait weeks for a simple approval
  3. Better tools and processes: work more efficiently
  4. A more supportive environment: Competition and politicking instead of aid

A CoachLab organisational development services we find that 80% of employees feel that the changes have made their work easier and more enjoyable.

Organisational development why when how
Organisational development why when how?

What results can I expect from successful organisational development?

A organisational development results can be divided into two categories: hard (measurable) and soft (qualitative) results.

Results - proven with numbers:

Other results - but equally important:

At staff level:

  • Greater job satisfaction
  • Lower stress levels
  • Better team unity feeling
  • Increased motivation and commitment
  • Personal development opportunities

At executive level:

  • Easier team management
  • Less conflict management
  • More time for strategic tasks
  • Better decision-making speed
  • Growing managerial confidence

At organisational level:

  • A healthier organisational culture
  • Improved adaptability
  • Increase innovation skills
  • Better market position
  • More sustainable operations
🎯 CoachLab experience:
90% of our customers are already seeing positive changes in the first 3 months. The most common feedback is "Why didn't we do this before?"

What will change after successful organisational development?

The changing working environment:

In communication:

  • Open, frank conversations will be typical
  • Developing a constructive feedback culture
  • Less "corridor politics"
  • Faster information flow

In work organisation:

  • Clear goals and tasks
  • More efficient meetings (shorter but more effective)
  • Better priority management
  • More flexible working

Team dynamics:

  • Cooperation instead of competition
  • Helping each other becomes natural
  • Constructive conflict resolution
  • A shared sense of achievement

What will be different for us, the company?

Operational:

  • Faster adaptability to market changes
  • More efficient use of resources
  • Less wasted time and overlap
  • Proactive problem solving instead of reactive firefighting

At the strategic level:

  • A clearer vision and mission
  • Better positioning in the market
  • Making it easier to exploit growth opportunities
  • Improving competitiveness

Financial results:

  • Cost efficiency improvements
  • Revenue growth
  • Better profitability
  • A more sustainable business model

External perception:

  • Better employer brand
  • More positive customer feedback
  • Easier talent attraction
  • Better reputation in the market

In our experience, the organisational development for development work carried out by CoachLab and its partners payback in 18 months on average through hard business results, such as productivity, turnover, project deadlines, absenteeism, the customer satisfaction and revenue growth in respect of.

Organisational development why when how?

Is there a downside to organisational development?

Let's be honest - there is nothing in the world that does not have challenges or potential drawbacks. A organisational development is no exception, but experience shows that these challenges are manageable and far outweigh the benefits in the long run.

Potential challenges and their consequences:

1. Initial resistance

  • What can happen: Some staff may be sceptical or resistant to change
  • Conclusion: Slower start, more persuasion needed
  • Solution: Gradual introduction, communication, presentation of early successes

2. Temporary productivity loss

  • What can happen: There may be temporary disruption in the first 1-2 months due to new processes
  • Conclusion: Short-term performance fluctuations
  • Solution: We factor this into the planning, provide support

3. Investing time

  • What can happen: Managers and key staff must take time to improve
  • Conclusion: Less time for daily operational tasks
  • Solution: A well-scheduled programme that does not overuse resources

4. Costs

  • What can happen: A organisational development and coaching requires investment
  • Conclusion: Short-term cost increase
  • Solution: ROI calculation, transparent pricing

When NOT to recommend organisational development:

  • If the company is on the verge of bankruptcy (survival must be resolved first)
  • If top management is not committed
  • If the fluctuation is too high (this must be stabilised first)
  • If other major changes are already taking place (e.g. merger, relocation)
Important: In our experience, successful projects are those where management is realistic about the challenges and prepares for them. The **"easy fix "** mentality does not lead to results.

What happens after organisational development?

A organisational development is not a finished project, but the start of a process. The question is not what comes next, but how to maintain and build on the achievements.

Short-term maintenance (after 1-6 months):

Monitoring and fine-tuning

  • Collecting regular feedback
  • Monitoring KPIs
  • Application of minor corrections
  • Confirming successes

Ensuring embeddedness

  • Making new habits routine
  • Continuous training and refresher courses
  • Training internal facilitators
  • Updating documentation

Long-term maintenance (after 6+ months):

Continuous improvement culture

  • Annual organisational development setting goals
  • Regular organisational health checks
  • Proactive problem solving
  • Support for innovation projects
Organisational development why when how The role of the good and the best business development coach in corporate transformation
Organisational development why when how?

Is coaching relevant after organisational development?

Absolutely yes! In fact, we often find that the coaching relevance only increases with successful organisational development following.

Why will coaching become even more important?

1. New challenges emerge:

  • Managing higher expectations
  • Growing responsibilities
  • Learning new roles
  • Solving next-level problems

2. Developmental appetite increases:

  • Staff say how the development is working
  • There will also be a demand for individual coaching
  • Career development ambitions are growing
  • Further improving personal effectiveness

3. Required for maintenance:

  • Reinforcing new habits
  • Prevention of relapses
  • Maintaining constant motivation
  • Support for dealing with new situations

How can coaching help after organisational development?

At executive level (Executive Coaching):

  • Further development of strategic thinking
  • Managing complex decision situations
  • Team building at a higher level
  • Refining change leadership skills
  • Developing a personal leadership style

At staff level (Career coaching):

  • Acquiring new competences
  • Career planning and development path
  • Work-life balance
  • Stress management under new challenges
  • Optimising personal effectiveness

At team level:

  • More team building challenges
  • Managing a dynamically changing team composition
  • Developing project management skills
  • Fine-tuning communication
  • Conflict prevention and management
💡 Pro tip: The best results are achieved when we start targeted individual and team **coaching** programmes within 3-6 months of **organizational development**. This ensures continuity and further development.

What now? How can we be even better?

A successful organisational development then comes the most exciting part - how do we get to the next level? In our experience, this is where many companies stop, but this is where the real opportunity begins.

Steps to the next level:

1. Digital transformation Now that people and processes are in place, it's time for technological improvements. Well-functioning organisations adopt new technologies more easily.

2. Market expansion Stable internal operations create opportunities to enter new markets, either geographically or with new products/services.

3. Innovation and creativity When you don't have to deal with the daily firefighting, you have time and energy for innovation. That's when many people discover their true potential.

4. Professional recognition and reputation building Companies that work well naturally become market leaders, thought leaders in their industry.

5. Institutionalising organisational learning The next level is to create a culture where learning and development is embedded in the DNA.

Organisational development why when how?

Specific areas for improvement:

Leadership Excellence Programme

  • Developing leadership skills to a higher level
  • Adapting international management trends
  • Emotional Intelligence and Social Intelligence development
  • Deepening strategic thinking

High Performance Teams

  • Building top-performing teams
  • Implementation of Agile and lean methodologies
  • Improving cross-functional cooperation
  • Virtual team management skills

Innovation Culture

  • Encouraging creative thinking
  • Developing a culture of experimentation
  • Implementing a fail-fast mentality
  • Design thinking workshops

Measurement and tracking system:

Why work with CoachLab?

A fair question, as many coaching és tanácsadó cég van a piacon. Mi azonban nem csak szolgáltatást nyújtunk – partnerei leszünk a sikeres változásnak.

Which we do differently:

25+ years of management experience in practice
We don't just teach theory. As leaders and entrepreneurs, we have experienced the challenges you face. This gives our work credibility and a practical approach.

10+ years coaching experience
We worked with hundreds of leaders and dozens of organisations. We've seen what works and what doesn't. We know that every organisation is unique, so we offer tailored solutions.

A holistic approach
We don't just develop one area, but the whole organisation. organisational development and coaching create synergies that could not be achieved individually.

University-level qualifications and continuous development
We are university-educated coaches who are constantly training in the latest methodologies. Our goal is not to produce ICF paper, but real professional knowledge.

CoachLab's unique value proposition:

"Test & Learn" approach
We start with small pilot projects, prove the results, then scale up. That way you can at least take a risk and see if it works.

Integrated services

Flexible cooperation
We work in person and online. Both in Budapest and in the countryside. We tailor the format to your needs, not the other way around.

Transparent pricing and ROI measurement
You'll know what it costs and we'll measure exactly how much the result is. Our detailed prices can be found on our website.

Long-term partnership
We are not talking about a single project, but a multiannual development path. Our aim is to build up in you the inner skills that you can later manage on your own.

🚀 Ready for the next level?

Let's talk about how we can start positive changes in your organisation!

Register for a free consultation:
info@coachlab.hu

What do our customers say about us?

"With the help of CoachLab, we managed to transform our company culture in 8 months. Turnover has been reduced by 40% and employee satisfaction is at an all-time high. The investment paid off in the first year."
- Péter K., CEO, T...Serv Kft.

"I was sceptical at first, but the results convinced me. Our team's efficiency has increased by 30% and, most importantly, we feel much better at work."
- Zsuzsanna N. B., HR Director, Creative S... Zrt.

What is the next step?

If you've got this far by reading this article, you're probably serious about organisational development. That in itself is a big step - to recognise that there is room for improvement.

Practical next steps:

1. Internal situation analysis (1-2 weeks)

  • Discuss with the board what the main challenges are
  • Collect informal feedback from staff
  • Look at the key indicators (turnover, satisfaction, performance)

2. Free consultation with us

  • 60 minutes of comprehensive discussion on the situation
  • Personalised suggestions
  • Identifying concrete improvement opportunities
  • ROI estimate

3. Designing a pilot project

  • Smaller, low-risk start
  • 3-6 month test period
  • Setting measurable targets
  • Achieve results quickly

4. Start a full programme

  • Based on the results of the pilot
  • Comprehensive organisational development Strategy
  • Long-term coaching programme
  • Continuous monitoring and improvement

Don't let the "tomorrow" mentality hold you back. The best time to change is now!


Frequently Asked Questions (FAQ)

Organisational development why when how
How long does it take to see the first results of organisational development?
The first positive changes are usually visible after 2-4 weeks, especially in the areas of communication and workplace climate. Measurable business results (productivity, reduction in turnover) are typically evident in 3-6 months. Full organisational transformation takes 12-18 months, but companies see significant improvements in the first six months.
What size of company is a good size to start with?
It can be worthwhile for as few as 8-10 people, but the best results are achieved with companies of 15+ people. Smaller firms can change more quickly, while medium-sized firms (50+ people) and large companies present complex challenges, but can benefit more from organisational development. The key is not size but the commitment of management and the will to change.
What is the difference between organisational development and a simple training course?
Training is typically a one to two-day knowledge transfer, while organisational development is a comprehensive transformation lasting 6-18 months. Training provides new knowledge, while organisational development integrates it into day-to-day operations. The coaching element ensures that you not only know, but do the new methods. Organisational development brings systemic change, not just individual improvement.
How much does a full organisational development programme cost?
The costs depend on the size and complexity of the company and the depth of its development objectives. For a company with 20-50 employees, a 3-6 month programme typically costs between HUF 4-9 million. This translates into a monthly cost of HUF 20-58,000 per employee, which is usually recouped in the first year through efficiency gains and reduced turnover. For detailed pricing, please contact CoachLab pricing our site.
What to do if part of the team is resistant to change?
This is a natural phenomenon and we are prepared for it. The first step is to understand the reasons for resistance - often fear, insecurity or previous bad experiences are behind it. With a gradual introduction, transparent communication and demonstration of early successes, we usually succeed in convincing sceptics. Coaching helps to work through individual resistance. Our experience shows that after 3-6 months, even the most sceptical become change advocates.


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