Question

Explain Downs’s three-stage model of the life cycle of an organization.

Explain Downs’s three-stage model of the life cycle of an organization.

Homework Answers

Answer #1

Organization life cycle is nothing but the stages of growth and development and crisis that the organization go through from its creation to its termination.

Down's three-stage model of the life cycle of an organization include: -

  • Early stage - This stage focus on struggle for autonomy where zealots and advocates focus on building political support for their legitimacy and resources.
  • Middle stage - This stage focus on rapid expansion and innovation. The firm develops the ability of acquiring resources and optimally using it. This result in gaining competitive advantage because of the increase in division of labor and specialization. The organization also create high performance culture, implement rules and code of conduct and values that govern the behavior of the employees.
  • Deceleration stage - In this stage the organization grow older and larger where rules are elaborated and focus on accountability. In this stage the zealots and advocates might leave the organization for active programs or continue with their roles in the organization.
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