greiners model of growth Flashcards

1
Q

as a bs grows what does it bring with it

A

many org issues relating to management e.g cord an comm

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2
Q

what does greiners model consider

A

challenges bs likely to encounter as it gets bigger and older

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3
Q

whats on horizontal and vertical axis

A

Horizontal axis - business age
Vertical axis - business size

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4
Q

state the 6 phases in order

A

growth through creativity

growth through direction

growth through delegation

growth through coordination

growth through collaboration

growth through alliances

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5
Q

how do we rember teh stages in order

A

c
2d
2c
a

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6
Q

state the crises in order

A

leadership crisis

autonomy crisis

control crisis

red tape crisis

growth crisis

identity crisis

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7
Q

how do we remeber crises

A

lacey ate connie reids giant ice

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8
Q

describe whats hapening in growth through creativity

3

in terms of bs and employess

rules and procedures

jod descriptions

A

Business just starting out so relatively few employees + approach is likely to be fairly informal

Not many clear rules and procedures

Job descriptions may be fairly broad and people tend to help out as and when is needed

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9
Q

in growth through creativity - At some point if bs grows approach may cause problems

what are these

2

A

Overlap as individuals end up duplicating the tasks they do

Other jobs may not be taken as its assumed someone else is doing htem

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10
Q

what crisis do we have in rgowth through creativity

A

leardership crisis

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11
Q

with a leadership crisis we need

A

clearer direction

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12
Q

in terms of leadership crisis business may beenefit from

how cna this be provided through

A

bringing in professional managers

define jobs roles and org structure more formally

canbe provided through growth and direction

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13
Q

what is stage 1 good for

A

creativity and adaptability

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14
Q

what is stage 1 poor for

A

clearly defined roles and organisation

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15
Q

what is phase 2

A

growth through direction

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16
Q

what is grwoth through direction( and other phases) can lead …

A

bs forwards as it continues to grow and get older

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17
Q

describe growth through direction

3 points

pressures
dm
desire

A

At some point with more employees, products and with bs operating in more markets may be pressure from managers for more independence

may be a need to respond to local mkt conditions and so more decentralisation

There’s a desire for more autonomy

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18
Q

what is stage 2 good for

A

consistency and order

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19
Q

what is stage 2 poor for

A

dealing with rapid growth

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20
Q

whats the crisis in growth through direction

A

autonomy crisis

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21
Q

what is autonomy crisis

A

business ibecoming bigger , needs strategic direction.

Management is too tied up in the day to day running of the business and important decisions are not being made.

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22
Q

whats phase 3

A

growht through delegation

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23
Q

what is growht through delegation

managers create …

A

more self running units e.g separate profit centres that are more more self governing

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24
Q

what may begin to appear in growht through delegation

A

middle managers may begin to appear

25
what crisis may we get in growht thtrough delgation
control crisis
26
How does control crisis in growth through delegation happen
delegation gets more complex : senior managment dont know whats going on at bottom of org &loose control of everyday operaitions Middle managers may DM not aligned with the organisation’s objectives/ conflict with other functional areas as little management oversight
27
what is good about S3
Good org can begin to take more LT view
28
WHATS BAD ABOUT S3
chaotic top managers become distanced from the clients functional areas may not be very well coordinated
29
how may senior managment get cnotrol in control crisis
establishing systems such as budgets to provide targets and monitor the progress in place (phase 4)
30
what is phase 4
growth through coordination
31
what is growth through coord introduce create
introduce more control leaders need to create policies and procedures for middle managers to follow and execute
32
what is the danger of growht through coordination
with continued growth centralised system put in place to keep control may become burdensome and bureaucratic
33
what is buearacracy
complex org got multilayered systems and processes.
34
in stage 4 wat happesn when an org becomes burdensoe and bureacratic and whatcrisis does this cause
can lead to time consuming paperwork and slow down effective DM as key descision needs to be approved by ehad office crisis of red tape
35
what is red tape what does this lead to
too much paper work and from filling With too many policies and procedures, staff are disempowered and find their job role inflexible and time consuming to effectively carry out. stage 5
36
what is stage 4 associated with
increases in the number of layers in the hierarchy to oversee the execution of strategic decision
37
WHATS GOOD FOR S4
Good for establishing consistency across the organisation
38
WHATS ABD ABOUT S4
rules and policies can be demotivating, poorly designed or executed and time consuming to carry out
39
what is stage 5 and waht i the crisis
growth through collaboration growth crisis
40
what happens in stge 5 growth through collaboraton
Bs tries to develop processes that enocoruage collab between hte dif parts of bs w/o too much central regulation
41
describe what happens in stage 5 grwoth through coollab , examples
senior managers may move around the bs, individuals may xp centralised training to instil core values but then be given high levels of independence
42
in stage 5 describe reward systems and what may be encouraged
Reward system may focus more on collab sharing and teamwork with teh sharinf od info between senior managers in all parts of org being encouraged
43
in stage 5 we et through growth crisis what does this mean
its difficult to grow further internally and maintain appropriate levels of control bs may look to expand through a mergers and acquisiotons
44
in stage 5 org may adpat ... why
matrix structure and be more flexible in order to meet demand
45
what is stage 5 good for
Good for re-establishing creativity and improving motivation of empowered employees
46
in stage 5 org has reached
limits of internal growth capabilities
47
what is stage 6 and waht is its crisis
growth through alliances identitiy crisis
48
what happens in stage 6
To avoid difficulties of internal growth the bs may decide at this stage to pursue external growth thorough alliances mergers and takeovers
49
but alliances, merges and takeovers brin
problems with them
50
describe how the bs is operating in stage 6
Complex structures and reporting systems, with product lines, geographical areas or conglomerate type systems in place
51
what is stage 6 good for
Good for taking advantage of growth opportunities and developing synergies
52
what is a negatove of stage 6
Can create a lack of focus on core competences and difficulty identifying the business’s corporate culture
53
what is the identity crisis
The organisation has become large and complex. It can be difficult to identify the core purpose and meaning of the business, leading to a lack of direction and demotivated staff
54
why does model still have valye
highlights issues of in org growth meaing bs can plan better
55
criticisms of greinres model of growht
Bs may move at diff speeds through the stages , may skip over some and revisit some Rate of growth varises between diff bs and industries - give example pls bs may groth through multiple crises at the same time too simplistic
56
the longer you are in eahc stage
more resistance managers have when face a crisis and try to employ and adapt to new management strategy/style Loop this into resistance to change
57
explain 2 ways why this model is useful
founder can ID which phase youre in and you can look to adpt management style accordingly to keep bs growing and successful Founder knows need to do and impact itll have on employees so you can plan ahead on ways to keep them motivated and productive/reduce resistance
58
what is stage 2 poor for