9: Organisational lifecycles

Just like products, organsiations have lifecycles. At different stages of the lifecycle organsiations will face different challenges. For example the challenges a brand new organisation faces are different from those of a large corporattion. One is facing the challenge of growing awareness of its existance and finding good staff. The other is wrestling with issues of internal complexity, communication, control and flexibility.

Eventually, an organisation will decline and die unless it is re-invigorated.

Greiner (1972) came up with a model which highlights the different challenges an organsiation faces at different times in it's lifecycle. The Griener model is presented here:

Apparently these crisis events are common to most organsiations as they pass from one phase of growth to the next. If you know about these challenges awareness of having just passed through a certain phase of growth will be a trigger to focus on the next growth challenge. That way you are focusing your attention on the right issues to overcome the natural barriers and can reduce the risk of being blindsided.

ref: http://epress.anu.edu.au/info_systems/mobile_devices/ch11s04.html