Org

							Organization Size, Life Cycle,
        and Decline
                Which is Better?

   Large Firm
       Huge resources
       Economies of scale
       Hierarchies/ Mechanistic
       Complex products
       Stabilize the market
       Careers at one company
                 Which is Better

   Small firm
       Responsiveness
       Internet= Expanding reach
       Flat structure/Organic
       More commitment
                 Hybrids

   Divisional
   Front/Back Approach
   Other
                 Life Cycle

   Entrepreneurial Stage
   Collectively Stage
   Formalization Stage
   Elaboration Stage
                   Bureaucracy

   Good or bad?
   Formalization
   Centralization
   Personnel ratio
       Administrative ratio
    How to Combat Bureaucracy

   Incident Command System
   Give frontline workers more power
   Cut layers of hierarchy
   Increase professionalism of workers
       Professional partnership
       Three Control Strategies

   Bureaucratic control
   Market control
   Clam control
          Bureaucratic Control

   What is it?
   Rational
   Traditional
   Charismatic
              Market Control

   Market exerts force
   Modular companies
               Clan Control

   Small and informal
   Works in high uncertinty
           Organizational Decline

   Factors
       Organizational atrophy
       Vulnerability
       Environmental decline or competition
            Stages of Decline

   Blinded Stage
   Inaction Stage
   Faulty Action Stage
   Crisis Stage
   Dissolution Stage
    Implementation of Downsizing

   Communicate more
   Provide assistance
   Help “survivors”