The organizational life cycle is the life cycle of an organization from its creation to its termination.
There are five level/stages in any organization.
- Birth
- Growth
- Maturity
- Decline
- Death
According to Richard L. Daft there are four stages in an Organizational Life Cycle.
The four stages are:
- Entrepreneurial stage -> Crisis: Need for leadership
- Collectivity stage -> Crisis: Need for delegation
- Formalization stage -> Crisis: Too much red tape
- Elaboration stage -> Crisis: Need for revitalization
(Richard L. Daft, Understanding the Theory and Design of Organizations, first edition 2007, ISBN 0-324-42271-7)
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