Evolution and Revolution as Organisations Grow
17th October 2006
? Five phases of development ? calm period ending in management crisis.
? Problems rooted in history (past decisions). Organisations are too forward looking and overlook where it has been and where it is now.
? Inability of management to understand development problems can result in the company remaining static.
? Evolution ? prolonged periods of growth.
? Revolution ? substantial confusion and disturbance.
? Management's solution will determine if the next stage is reached.
? Market opportunities determine a company's strategy and hence its structure.
? From an analysis of recent studies, five key dimensions emerge as essential for building a model of organization development:
? Age of the organization - Management problems and principles are
rooted in time.
? Size of the organization ? change markedly as the number of
employees and sales volume increase.
? Stages of evolution - The term evolution seems appropriate for describing these quieter periods.
? Stages of revolution - Smooth evolution is not inevitable; upheaval of management practices. Companies fail that can't change.
? Growth rate of the industry ? related to market.
? Each phase is both an effect of the previous cause and a cause for the next
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