The Stages Of The Organizational Life Cycle

771 WordsOct 11, 20154 Pages
Daft (2014) believes that the stages of the organizational life structure are sequential and follows a natural progression. Theories relating to the organizational life cycle either include 4 or 5 stages. Churchill and Lewis (1983) propose an alternate theory of the organizational life cycle where there are 5 stages in the business/organizational life cycle and each stage is characterized by the owner’s involvement in the business, strategic goals, organizational structure, and the extent of the formal systems. Wikipedia defines the organizational life cycle as , “The developmental history of an organization from its creation to its termination. It also refers to the expected sequence of advancements experienced by an organization, as opposed to a randomized occurrence of events.” (Organizational Life Cycle). While similarities exists between the theory proposed by Daft and that by Churchill and Lewis where both theories speak of organizational culture and organizational structure, where they differ is Churchill and Lewis present a more holistic approach which includes strategic planning in their presentation. An examination of each theory will be presented below which highlights the distinctions between the two theories. The theory proposed by Churchill and Lewis will be presented first, followed by that of Daft, and will conclude with restatement of the similarities and differences. Churchill and Lewis (1983) offered their own take about the evolution of the
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