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Organizational Growth and the Greiner's Model

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Why do organizations grow? What types of major crisis is an organization likely to encounter as it grows?

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Solution Summary

This solution discusses how organizations grow and and the crises they encounter. This solution utilizes Greiner's model of growth. 383 words with references.

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Why do organizations grow? Because they are designed to grow!
Organizations when formed become a distinct entity. When properly managed, it 'breathes' a life on its own. There is no stopping its growth.

Just like a living organism, in order to properly grow it must shed its old skin to give way for a new skin. Survival and aim for greatness are the main reasons why organizations grow.

Here is an example (as culled from Greiner's) of an organization that refuses to grow:

"Key executives of a retail store chain hold on to an organization structure long after it has served its purpose, because their power is derived from this structure. ...

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