The Corporate Growing Process

I followed the evolution of various private companies, in their early stages, before they become big conglomerates. I noticed substantial similarities, and based on such observation I developed a map indicating the correlation between the main organizational parameters. After consulting with numerous people in different industries, and upon discussing it in a series of forums and functions, I gained enough confidence in its validity to submit it for public review.


My analysis was triggered by Peter Drucker’s assertion that “any organization that doubles or triples in size over a short period of time has necessarily outgrown its theory”. What I found was a series of examples of cyclical evolutions, each being characterized by certain essential attributes: Size (expressed in Throughput or number of employees), Organizational structure, Strategic focus, Mode of interaction and Control mechanisms - to name a few.


Another interesting finding was the realization by consulted experts in the field, that the chart offers not only an evolution map, but also provides answers to problems of dis-functionality and misalignment, as noticed in organizations situated on different stages of development.