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MASENO UNIVERSITY
SCHOOL OF BUSINESS AND ECONOMICS
ABA 207: ORGANIZATION THEORY

GROUP WORK NAME | ADM NO | SIGN | | | | | | | | | | CHIRCHIR VALENTINE JERONO | BA/03014/011 | | | | | | | | | | | | | | BRAYANE OMARI MULINYA | BA/00236/011 | |

COURSE INSTRUCTOR:

REFERENCES * Adizes I, 1989. Corporate Life Cycles * Beverland M, Lockshin LS. 2001. Organizational life cycles in small New Zealand wineries. * Churchill NC, Lewis VL. 1983. The five stages of small business growth * Buchele, R.B. 1967, Business Policy in Growing Firms, Chandler, San Francisco, California.

Development of organization life cycle
Numerous researches have focused on the life cycles of organizational development. Historians and academics have observed that organizations, like living organisms, have life cycles. They are born or established, grow and develop, reach maturity, begin to decline and age and finally in many cases, they die.
Key Forces in development
There are 5 key dimensions that are essential for building a model of organizational development: 1. Age of the company 2. Size of the company 3. Stages of evolution 4. Stages of revolution 5. Growth rate of industry
The following are stages in the development of an organization:
Birth stage
The primary purpose and activity of a firm at the birth stage is to set the direction of corporate development for the foreseeable future. To fight for survival in the global market, the firm needs to call on its innovation function to cope effectively with the changes in the customers’ needs. The focus is on how to provide effective solutions to customers.
Survival stage
The survival stage is characterized by the strong organizational learning effect and increasing competitiveness. This stage involves increased production, new recruitment, and the development of strong brands through focused marketing activities. Companies continuously



References: * Adizes I, 1989. Corporate Life Cycles * Beverland M, Lockshin LS * Churchill NC, Lewis VL. 1983. The five stages of small business growth * Buchele, R.B

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