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  • Greiner'S Growth Cycle: Depicting Life of Organisations!

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    Samrutha K.S
    16 Ansichten14 Seiten
    The Greiner's Growth Cycle model depicts the life cycle of organizations in 5 phases: 1) Creativity phase where founders lead and communicate informally until a crisis of leadership occurs requiring a new business manager. 2) Direction phase where a business manager installs structure but eventually a crisis of autonomy emerges requiring delegation of authority. 3) Delegation phase where decentralized operations lead to a crisis of control that is solved by coordination between units. 4) Coordination phase where additional processes are put in place but eventually lead to a crisis of red tape, solved by increased flexibility. 5) Collaboration phase where cross-functional teams are used until an organization hits a crisis of internal growth and must form

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    Greiners Life cycle for organizations!

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    The Greiner's Growth Cycle model depicts the life cycle of organizations in 5 phases: 1) Creativity phase where founders lead and communicate informally until a crisis of leadership occurs requiring a new business manager. 2) Direction phase where a business manager installs structure but eventually a crisis of autonomy emerges requiring delegation of authority. 3) Delegation phase where decentralized operations lead to a crisis of control that is solved by coordination between units. 4) Coordination phase where additional processes are put in place but eventually lead to a crisis of red tape, solved by increased flexibility. 5) Collaboration phase where cross-functional teams are used until an organization hits a crisis of internal growth and must form

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    16 Ansichten14 Seiten

    Greiner'S Growth Cycle: Depicting Life of Organisations!

    Hochgeladen von

    Samrutha K.S
    The Greiner's Growth Cycle model depicts the life cycle of organizations in 5 phases: 1) Creativity phase where founders lead and communicate informally until a crisis of leadership occurs requiring a new business manager. 2) Direction phase where a business manager installs structure but eventually a crisis of autonomy emerges requiring delegation of authority. 3) Delegation phase where decentralized operations lead to a crisis of control that is solved by coordination between units. 4) Coordination phase where additional processes are put in place but eventually lead to a crisis of red tape, solved by increased flexibility. 5) Collaboration phase where cross-functional teams are used until an organization hits a crisis of internal growth and must form

    Copyright:

    © All Rights Reserved
    Als PPTX, PDF, TXT herunterladen oder online auf Scribd lesen
    Markieren Sie unangemessene Inhalte
    von 14

    GREINER’S

    GROWTH CYCLE
    DEPICTING LIFE OF ORGANISATIONS!
    GREINER’S GROWTH CYCLE!!
    created by Larry Greiner in 1972 and updated in 1998. The model helps to identify, anticipate and
    understand the root cause of problems for a fast-growing business. Each growth phase has a
    period of evolution and stability and ends with a revolutionary period of organisational turmoil and
    change. Successful resolution of the revolutionary period is essential to allow the business to
    move to the next phase.

    2
    3
    CREATIVITY 01
    Emphasis on creating a product and market
    Founders are in charge: Emphasis on
    creating a product and market Founders
    are in charge
    •Communication is frequent & informal
    •Hard work is rewarded by modest salaries
    & promise of ownership benefits
    Crisis of Leadership
    • Increasing complexity, founders
    struggle to both run and manage the
    business, conflicts emerge on new
    products / markets, lack of decisive
    direction
    • Solution - Install a strong business
    manager to pull the business together

    4
    CASE STUDY!!

    5
    DIRECTION 02
    • Increasing complexity, founders
    struggle to both run and manage
    the business, conflicts emerge on
    new products / markets, lack of
    decisive direction
    • Solution - Install a strong business
    manager to pull the business
    together
    •Crisis of Autonomy
    • Funnels energy into growth,
    increasing complexity, top
    management unable to oversee all
    operations, lower level managers feel
    tied down despite their greater
    knowledge of markets and products
    • Solution - Delegation

    6
    CASE STUDY!!

    7
    DELEGATION 01

    CRISIS OF CONTROL

    • Decentralised Structure
    • Operational & market level
    responsibility Profit centres & financial Relative prosperity until top executives feel
    incentives loss of control.
    • Top management acting by exception Managers acting more independently,
    • Decision – making based on periodic running own “parochial” campaigns.
    reviews Management attempts to regain control
    • Rare and formal corporate and fail due to scope of operations &
    communication, supplemented by “field markets.
    visits Solution – co-ordinate rather than control
    .

    8
    CASE STUDY!!

    9
    CORDINATION 01
    •Merging of local units into product groups Thorough
    review of formal planning Supervision of co-ordination by
    corporate staff Centralisation of support functions
    •Corporate scrutiny of capital expenditure
    •Accountability for return-on-investment at product group level Motivation
    through lower-level profit sharing

    Crisis of Red Tape

    – Resource use becomes more efficient, local management look beyond


    local needs, growth recommences.
    • Product group managers have learnt to justify & account for decisions
    and are rewarded on results.
    – Watchdog mentality de-motivates middle management so that rules
    and procedures are the goal (not the means).
    • Solution – increase market agility & people need flexibility

    10
    CASE STUDY!!

    11
    COLLABORATION 05
    •Team action for problemsolving
    •Cross functional task teams
    •Matrix type organisational
    structure
    •Simplification of control mechanisms
    Real-time information systems
    •Team behaviour education
    programmes
    •Decentralization of support staff to consult specific
    teams Team incentives

    Crisis of Internal Growth


    •Only way to grow is through collaboration with other
    organisations Solution - alliances

    12
    ALLIANCES-06

    Extra organisational solutions


    Mergers & acquisitions Creating
    holdings Managing a network of companies

    Crisis of Identity
    .

    13
    THANK YOU

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