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organizational growth and decline

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(1) Why do organizations decline? What steps can organizational leaders take to halt decline and restore organizational growth?

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

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This solution discusses why organizations decline and the steps to restore growth. I also discuss why organizations grow and the types of major crisis that an organization is likely to encounter as it grows.

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(1) Why do organizations decline? What steps can organizational leaders take to halt decline and restore organizational growth?

One of the main reasons why organizations decline is because they run into a stagnation of sales and they do nothing to change their processes which would allow for greater growth. When successful organizations hit stagnation, they venture into new areas and redesign their processes. They innovate, they expand into different markets, they acquire other companies or form strategic alliances, ...

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