evolution and revolution_group 2

8/2/2019 Evolution and Revolution_Group 2

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Group 2:Ajay Pokale FT12305Mahesh Godse FT12228

Gaurav Kathuria FT12324Guruprasad FT12215

Urvashi Babaria FT12169


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Management needs to answer.. Where has our organization been?

Where is it now?

What do the answers to these questionsmean

for where it is going?

Developmental phases in company Evolution Steady growth and stability

Revolution - Organizational change

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Age of the organization Management problems & principles are rooted in time.

Size of the organization As size increases, problems of coordination and

communication, emergence of new functions,multiplication of levels in the managementhierarchy, more interrelated jobs

Stage of evolution Growing org. - expand for 2 years contract for 1

Crisis surviving org. - 4 to 8 years of continuousgrowth

Evolution in terms of quiet periods with onlyminimal changes needed

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Stages of revolution Growth cant be linear forever

Evolution is not indefinitely sustainable

Periods of Revolution Times of upheaval of

management practices Companies that do not change have to shut shop

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When everything changes, changeeverything!


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Growth rate of industry Environment of industry matters One of the forces in

Porters model

Too fast growing industry vs. too slow growing industry

Difference in strategy, organizational structure Emerging Economy vs. Mature Economy

High profits vs. low profits

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Each phase is characterized by dominant

management style and dominant problem tobe solved.

Creativityo Initial emphasis is on creating both a product

and a market.o As companies grow a crisis of leadership

occurs.

o Need for strong business manager who canpull the business togather.

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Direction-o A functional organization structure.o Formal and impersonal communication.

o Lower employees get restricted because ofhierarchy.

o A crisis of autonomy arises and asks fordelegation.

o Delegation-o

Heightened motivation of lower levelmanagers allows expansion.

o Top management tries to gain control andneed arises for co-ordination.

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Co-ordinationo Formal systems used to achieve greater co-

ordination.o Top level responsible for initiation and

administration of these systems.

o A red tape crisis arises asking forcollaboration.

Collaborationo Spontaneous management actions using

matrix type structure.o Social control and self discipline replaces

formal control.

o Arises psychological saturation of employees.

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Know Where you are in the developmentalsequence Tempting to skip the phases out of impatience

Success of each phase depends on previous phase

Recognize the limited range of solutions Tempting to choose solutions that were tried before

but that actually makes impossible for new phase toevolve

Realize solutions breed new problems Historical understanding instead of pinning the

blame on the current development

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evolution and revolution_group 2

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