BUS 435 Week 5 Discussion

Describe the most common root causes of organizational growing pains not dealt with appropriately. Why do you think this occurs?

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When an organization experiences rapid growth, it creates problems known as growing pains which are symptoms that something has gone wrong with organizational development and warning signs that the organization needs to make a fundamental change in its infrastructure.  Growing pains indicate that the resources, internal management and operational systems, and culture required at a particular stage of growth, has not kept up with its size and complexity, as measured by its revenues. Or, in other words, the scale-up has not been successful. For example, a business with $200 million in revenues may only have an infrastructure that supports the operations ofa firm with $50 million in revenues.  As a result, this will produce the growing pains outlined in our text and the faster the company grows, the more severe the pains. 

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