Organizations exhibit a similar life-cycle pattern of changes to living organisms. They grow, mature, decline, and eventually pass away. However, there are some differences. The duration of each stage is less precise than that of typical organisms. In human beings, physiological growth reaches its climax at about the age of 25 whereas the growth phase of an organization can vary to a great extent. The mechanics upon which changes are based are different. Living organisms are typical biological machines with their own physics and chemistry, while organizations are at a higher level of complexity than living organisms.
Genetic factors and available resources both influence growth in organisms. Organisms develop from fertilization to maturity through a programmed or predetermined genetic code, it is also necessary that a organism acquire sufficient necessary resources from the environment to sustain its life and remain viable. Although the development may not be directly apply to the growth of real organizations due to the difference in basic constituents and mechanisms (i.e. biological vs. socio-technical), there is a similar idea upon which the description of growth in organizations can be based.
Ben Greiner describes organizational development as the alternation of quiet periods of growth and moments of crisis that indicate a new stage. Each evolution creates its own revolution. Each stage has a typical style of management; each revolution has a typical management problem that should be solved to enter the new stage.
* The first stage is that of the pioneer and is based on creativity. Management is characterized by informality and dedication. The first management crisis, leadership crisis, s ...