midterm Flashcards
Greiner's Growth Model is a framework that shows the different phases a company goes through to achieve growth and the different types of crisis that may occur during those milestones.
Another definition of Greiner’s Growth Model is…
Greiner’s Growth Model is a framework that shows the different phases a company goes through to achieve growth and the different types of crisis that may occur during those milestones.
What is the Greiner growth model?
growth model?
illustrates six key phases of growth that organizations typically go through - from start-up phase to multinational corporation.
Please explain the ‘Creativity’ phase of the Greiner Growth Model.
All businesses start from a spark of an idea, one that is fostered and developed over time. It’s a truly creative stage of a company’s life as they attempt to develop a new product or service, pull together a team, a route to customers, and get that sometimes elusive ‘product-market fit’.
Please explain the ‘Direction’ phase of the Greiner Growth Model.
At this point in a company’s life the owner/founders begin to hire managers, releasing some of the control of the resources and direction of the business. This is normally a ‘growing up’ period of a company’s life, when processes become slightly more formal, departments may be developed, and a culture is set within the business. That’s not to say the founders/owners aren’t still actively involved, they are indeed ultimately running the company, but it’s a collaboration of managers that drive the direction.
Why might someone use the ‘Delegation’ phase of the Greiner Growth model?
A company may be in this phase if:
Specialist skilled employees are increasingly being hired
Accountability for key tasks is shared down the company
Leadership teams spend less time doing jobs they aren’t good at or don’t like
Kuratko
Dynamic process of vision, change, and creation that requires an application of energy and passion toward the creation and implementation of new ideas and creative solutions.
What is the MIT Top 10 Lessons on Strategy: The Art of Strategic Renewal?
Building and implementing an effective corporate strategy in an era of rapid change, evolving technology, and intense competition.
What are the different phases of the Greiner growth model?
Greiner’s growth model is comprised of six phases, with each comprising a different stage of company maturity. These are growth through creativity, direction, delegation, coordination and monitoring, collaboration, and extra-organizational solutions.
Why is the Greiner’s growth model important?
helps you to think about your own organization’s growth trajectory, and plan ahead so you can overcome each growth crises that affects it.
Please explain the ‘Delegation’ phase of the Greiner Growth Model.
The Delegation phase of growth occurs when key staff members are given accountability and responsibility to deliver in areas where they are better equipped to than the manager. At this point in a company life there will be specialist employees, focused on specific roles.
Delegating jobs to more specialist, skilled employees means you’ll get a better result, with the added benefit that the executive team have time to focus on the market data, their strategic decisions, and business planning.
Please explain the ‘Coordination’ phase of the Greiner Growth Model.
This is now a mature stage of growth, one that focuses on the company core competencies and all departments working in line with each other to output a product or service. Growth comes from the whole business being greater than the sum of its parts.
Please explain the ‘Collaboration’ phase of the Greiner Growth Model.
The final stage of growth in this model is deemed to be Collaboration. This is an evolution of Coordination, one where all parts of the company work together in a trusted, effective manner. Systems are simplified for efficiency, learning and development is prominent, and all aspects of the business contribute towards ways to continue success.
Why might someone use the ‘Collaboration’ phase of the Greiner Growth model?
A company may be in this phase if:
They are a mature company
There is a positive culture around problem solving
There’s little ‘red tape’
Reward is shared on the basis of team performance
Processes are simple and teamwork is good
Employees feel they can contribute ideas for growth
Everyone knows how they impact the company with the work they do
Why might someone use the ‘Direction’ phase of the Greiner Growth model?
A company can be considered in the Growth Through Direction phase if:
They have recently hired managers as the team grows
Decisions are no longer solely made by the founder/owners
Processes have started to be created within the company (e.g. HR, operations)
A culture is embedded within the company
Things are getting bigger and more complicated!
Why might someone use the ‘Creativity’ phase of the Greiner Growth model?
There are some common traits of companies at this stage:
They are small, responsive and agile
They are creative and working to find their product-market fit
They’re informally structured with strong communication between teams
