Read the following information and discuss, “How can a corporation keep from sliding into the Decline stage of the organizational life cycle?” Use examples from “The Icarus Paradox: Trajectories of Decline”.
The Icarus Paradox: Trajectories of Decline
In The Icarus Paradox, Miller proposes that companies go into decline because the very characteristics that helped make them successful tend to be taken to extremes over time and eventually cause a decrease in performance. A successful firm develops a theme based on a mission and a mutually supportive configuration composed of strategies, policies, structure, and culture. Success creates momentum, causing organizations to keep extending their theme and configuration until they push too far and eventually start to decline. Based on studying over 100 companies, Miller found four very common “trajectories” of decline.
D. Miller, The Icarus Paradox: How Exceptional Companies Bring About Their Own Downfall (New York: Harper Business. 1990).
Read The Icarus Paradox: Trajectories of Decline and address the following questions. How can a corporation keep from sliding into the Decline stage of the organizational life cycle? Based on current research, provide an example of a corporation that may be experiencing the Icarus Paradox. Please be sure to explain why.
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