The Growth Curve of Organizations

Posted 6 years ago

It has been a long known fact that the life cycle of organizations is 100 years in length.  The first 20 years are often met with the unique challenges of building a critical mass of people, location of the business and purpose of the organization.  The next 20 years is seen with a spike in growth which is rapid and effective.  The energy level is high and much is accomplished.  The core values of the organization are established and flourishing.  The third 20 year segment sees a peak of the energy, a plateau of growth and a start of decline in forward energy.  The fourth 20 year segment is a mirror of the second segment, however, with one major difference.  The difference is the rapid decline which mirrors the rapid increase in the prior years.  IN the final 20 year segment organizations reach their death.

This cycle seems harsh and predictable.  It is harsh and predictable, but it does not have to end and go like the pattern shows.  At any point the organization can have the downturn because of factors of conflict and commitment within the body of the organization.  In the same notion, on the downward segments after year 50, an upturn is possible if the body, revisions, renews its commitment and works diligently to change the direction of the critical mass.  This simple fact can reset and / or lengthen the life of an organization.  This renewal can happen more than once and may even create a new height of achievement for the organization,  The limit is not in the past things accomplished but in the belief and drive for future growth.  

So the question remains, what is the commitment, values and mission of the people of the organization?