Essay about Organizational Life Cycle

1281 Words Feb 7th, 2005 6 Pages

Organizational Life Cycle

Organizational Life Cycle

Organizations go through different life cycles similar to those of people. For example, people go through infancy, child-hood and early-teenage phases, which are characterized by rapid growth over a short period of time. Similarly, Organizations go through start-up, growth, maturity, decline, renewal and death. Employees in these phases often do whatever it takes to stay employed. (Ciavarella, 2001)
In the start-up phase of an organizational life cycle, employees are eager to make a name for themselves and often act impulsively, making highly reactive decisions based on whatever is going on around them at the moment. Struggling to
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Avoiding hasty, careless decisions, which can have devastating results on the manager's unit or the entire organization. Decisions made with forethought, using the many managerial tools available will lead to better and more profitable operations. When decisions are made in this manner, the manager will be confident they have made an appropriate decision. (Adizes, 2004, chap 1)
When a firm enters the maturity phase, it shifts focus to efficiency and productivity. Management during this phase should emphasize creating formal systems and structures that will facilitate knowledge and opportunities. The organization should create formal and informal mentoring and training programs with a shared knowledge base to connect all divisions and departments.
Managers should plan for resistance or conflict between new and old employees. The manager should become aware of change management, what to look for and how to avoid the frustration associated with change. As a manager in today's business world we should be able to visualize the future and design the changes which will get us there. There are certain steps, which can be taken by managers in order to make change easier on employees and gain their commitment. The steps are, Provide rational, what are the reasons for the change? Reasoning for change should be shared with employees. Take the time to explain the change, how it will benefit the company and how it will

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