Section 767. Orders on hearing

(a) If the court determines after hearing
  that continued placement serves the purposes of this article,  it  shall
  deny the petition. The court may, on its own motion, reduce the duration
  of  the  placement,  change  the agency in which the child is placed, or
  direct the agency to make such other arrangements for the person's  care
  and welfare as the facts of the case may require.
    (b)  If  the  court  determines after hearing that continued placement
  does not serve the purposes of this article, the court  shall  discharge
  the  person  from  the custody of the agency and may place the person on
  probation or under the supervision of the court.