Organizational life cycle
Encyclopedia
The organizational life cycle is the life cycle
Life cycle
Life cycle or lifecycle may refer to: * Biological life cycle* Enterprise life cycle* Life cycle assessment* New product development* Product lifecycle , various meanings* Project life cycle...

 of an organization
Organization
An organization is a social group which distributes tasks for a collective goal. The word itself is derived from the Greek word organon, itself derived from the better-known word ergon - as we know `organ` - and it means a compartment for a particular job.There are a variety of legal types of...

from its creation to its termination.

There are five level/stages in any organization.
  1. Birth
  2. Growth
  3. Maturity
  4. Decline
  5. Death


According to Richard L. Daft there are four stages in an Organizational Life Cycle.

The four stages are:
  1. Entrepreneurial stage -> Crisis: Need for leadership
  2. Collectivity stage -> Crisis: Need for delegation
  3. Formalization stage -> Crisis: Too much red tape
  4. 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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