Corporate Lifecycle Management Isaac Adizes

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Title: Corporate Life Cycle Management

About the book “Corporate Life Cycle Management” by Isaac Adizes

Isaac Adizes - wrote a very useful book on management. This work can easily be called the best textbook of recent years on modern management theory.

“Adizes Methodology” is popular in all corners of the planet and today we invite you to read about it in the book “Corporate Life Cycle Management”.

Let us note that Dr. Isaac Adizes is a real “ace” in writing works on business and management. Whatever the work is, it’s a bestseller. The main topics are the development of organizational life cycles, leadership, strategy, change management and so on. It is not for nothing that the author’s works are published in various countries.

One such bestseller is Corporate Life Cycle Management. This work is special because it is a unique accumulation of knowledge that the author shares with readers, literally dissecting his own methodology under a microscope.

Consistent consideration of all three components of the Adizes Methodology. Practical demonstration of methods. Solutions to the most complex management problems. All this is described in an intelligible and understandable language by the author. It is worth giving credit to the author, he knows how to intrigue and captivate the reader. It is a real pleasure to read this serious book, which helps to overcome all obstacles to management. And specific phrases, multiple humorous inclusions and accurate comparisons add drive to reading. The benefits of this work are undeniable. Open the first page and see for yourself!

Isaac Adizes simplified “Corporate Life Cycle Management” to the point of impossibility. What made this work understandable even to a beginner. Understanding the management process has become accessible to the common man. The real guru of this subtle science shared his knowledge and secrets with you.

"Corporate Life Cycle Management" provides everyone interested with the best known practices to improve management to the very highest levels.

As it turned out, everything is not so complicated. It is enough to become imbued with the life cycle of an organization, scrupulously analyze the personal qualities that everyone who considers themselves a leader is simply obliged to possess and... voila! Our company is ahead of everyone! But seriously, domestic management teaching is imperfect. That is why a manager’s diploma does not guarantee a good manager for an organization. That's why it's never too late to learn. Let's replenish our knowledge and start reading!

Current page: 1 (book has 41 pages total) [available reading passage: 10 pages]

Isaac Adizes
Corporate Lifecycle Management

Ichak Kalderon Adizes

MANAGING CORPORATE LIFECYCLES

ADIZES INSTITUTE PUBLICATIONS

Scientific editors: Dmitry Chichikaluk, certified consultant of the Russian office of the Adizes Institute, Certified Adizes Symbergetic™ Consultant, Adizes Institute, USA; Ashot Seferyan, Candidate of Sociological Sciences, Director of the Executive MBA program at the Institute of Business and Business Administration of the Russian Academy of National Economy and Public Administration (RANEPA) under the President of the Russian Federation

We thank Anna Chedia, personal assistant and literary agent of Isaac Adizes, for her help in working on the book.

© Dr. Ichak Adizes, 2004

© Translation into Russian, publication in Russian, design by Mann, Ivanov and Ferber LLC, 2014

All rights reserved. No part of the electronic version of this book may be reproduced in any form or by any means, including posting on the Internet or corporate networks, for private or public use without the written permission of the copyright owner.

Legal support for the publishing house is provided by the Vegas-Lex law firm.

© The electronic version of the book was prepared by liters

* * *

Foreword from the publishing partner
When in the struggle for success you should not forget about what stage of development the company is at

Major success is made up of many planned and thoughtful little details.

V. O. Klyuchevsky

The Stins Coman group of companies regularly supports the publication of books by Dr. Itzhak Calderon Adizes in Russia, promoting the ideas and methodology of one of the world experts in the field of improving the efficiency of companies. I am confident that his approaches, which are deeply in demand in the Russian business environment, will contribute to the success of companies of any level, for which all the problems that arise at various stages of development will become an opportunity to change for the better.

This is a new book where Professor Isaac Adizes, summarizing his thirty years of experience working with organizations, consistently sets out what forces drive systems at different stages of their life cycle and how business founders, risking their personal lives, selflessly connect together an idea, market, investment and create companies -monuments that will “outlive their creators.”

The life cycles of corporations are not determined by chronological age, and in order to achieve Heyday, it is not at all necessary, according to the author, “to experience all the difficulties of the period of growth. There is an optimal way." It is about understanding and accepting that change is constant and inevitable. “As long as we want something bigger and better, we develop, and accordingly, we have the motivation to change,” states the author. “Change must be expected, predictable, planned and continually experienced.”

At the same time, any change entails problems, and the more successful the organization, the more complex they are. But this is an essential attribute of success. “The struggle for success is the struggle with problems. Rejoice. Without problems, you would be dead."

The task of company managers is not only to constantly solve emerging problems, but also to be the fastest to make the right decisions, taking into account the structure of the organization. It is the structure, according to Dr. I. Adizes, that determines the behavior of the organization and determines its strategy.

As the Arabic proverb says, “The devil is in the details,” therefore, when thinking through the structure of an organization, you need to specify all aspects. “So that when moving forward the rear is strengthened and the entire structure does not collapse, the structure of the organization should not be a set of random decisions.”

Today, according to the method of Dr. I. Adizes, needs to be planned taking into account the expected events of tomorrow, which requires creativity and a willingness to take risks. Therefore, among the four management roles – Producing Results ( P), Administration ( A), Entrepreneurship ( E) and Integration ( I) – the author especially highlights Entrepreneurship, believing that it is what supports life in organizations.

The company's progress towards its cherished goal - Prosperity - accelerates progress towards spirituality. To be functional, that is, effective, an organization must initially determine why it exists, who it is aimed at, and what needs it will satisfy. In other words, a sustainable business, according to I. Adizes, is spiritually motivated and socially responsible.

Employees need to know what is expected of them, feel that they can achieve the desired result, and have a personal reason for completing the task. “When people believe in what they are doing, they try to work harder and better.”

In addition to the extensive analytical part, the book also includes “practical recipes for action.” The methodology of Dr. I. Adizes, as he himself calls it, symbergetic, allows you to determine the organization’s position on the life cycle curve and outline a further development strategy. It provides an opportunity to increase awareness of relationships within the team. His practical recommendations for improving management will be useful, first of all, to business owners and top managers who, after analyzing the material presented in the book, can try to avoid “surgical intervention” and protect themselves from making the wrong management decision that could lead to the death of the company.

The book provides answers to the questions: why do some companies achieve colossal prosperity, while others sink into oblivion? Which growing pains are normal and which are abnormal? What methods can you quickly diagnose and solve management problems?

All in our hands…

Irina Slesareva,

Vice President of Marketing and HR of the Stins Coman group of companies

Preface by the author

Currently, Russia is going through a complex process of transformation, accompanied by profound changes in all spheres of life. The country is moving from a planned economy to a market economy, and this transition is accompanied by crisis phenomena in political, economic and cultural life at various levels: society, organization, family and individual.

Management methods in Russia are also changing: from administrative-command, inherited from the Soviet Union, to less hierarchical and less rigid - as required by a market economy. In addition, old managers who adhered to an authoritarian leadership style are being replaced by younger ones who are more flexible in their thinking; workers in Russia are striving to adapt to new conditions; and Russian managers are looking for management methods that combine the characteristics of Russian culture and Western efficiency.

Using the tools provided in this book (this paragraph will be better understood by those who have already read the book), it can be said that transformation is characterized by attempts to weaken ( A) and strengthen ( E) and these changes affect ( I); Thus, Russian society is, to a certain extent, experiencing a process of disintegration.

I believe that this book will provide conceptual tools that may be useful in at least better understanding the changes that are taking place, or ultimately helping those changes be more productive and efficient and cause minimal disruption.

Over the past 35 years, working with many companies in more than 50 countries, I have been implementing change management systems that I myself developed and describe in this book (one of seven books dedicated to describing my methodology). This book is based on my experience working with clients around the world, and each paragraph reflects what happened to real people and what conclusions I drew from analyzing their successes and failures. This book has been translated into 30 languages, and the methodology outlined in it is now used in more than 50 countries around the world. Therefore, I am firmly convinced that the material presented in it will be applicable in Russia. I sincerely hope that it will equip modern Russian managers with new methods of understanding how and why organizations change, as well as management tools to make these changes as smooth and effective as possible for achieving the short- and long-term success of their companies.

Preface to the Russian edition

Dear reader!

You are holding in your hands an amazingly interesting and practical book on management. I think I won't be mistaken if I say that this is the best and most complete of books, written by the famous “guru” of management theory, Dr. Isaac Adizes. At the same time, this is one of the best books on management written in the last two decades. The book sets out in its most complete version the applied management theory known throughout the world as the “Adizes methodology.”

Dr. Adizes is a prolific author. He wrote and published two dozen books on business and management, where, based on his methodology, he examined issues of the life cycle of an organization, leadership, change management, strategy, etc. But that’s not all. Every second book by Adizes became a management bestseller, which, you see, does not happen often. His books have been translated into many languages ​​and published in dozens of countries. This put the author's name on a par with the classics of management theory of the first magnitude.

However, even among Adizes’ numerous bestsellers, the book “Corporate Life Cycle Management” that you are holding in your hands occupies a special place. Why is this so? Because this is the only one of his books where the author consistently examines all three main components of his methodology, while demonstrating how this methodology is used in practice to solve the most complex management problems. And it would not be an exaggeration to say that if Adizes had written and published only this book and nothing more, this would have been enough to forever go down in the history of management thought.

The book has one more important difference: it is written in surprisingly apt language. Even the most difficult moments are explained simply and logically. The author has the gift of imaginative thinking and the ability to intrigue and lead the reader, gradually and easily overcoming with him more and more unexpected and mysterious turns in the labyrinth of management thought. On almost every page you come across original management aphorisms, a lot of jokes and successful comparisons. All this makes reading not only useful, but also very exciting.

* * *

With Dr. Isaac Calderon Adizes 1
Since January 1, 2006, Dr. Itshak Adizes has been a scientific consultant for the programs of the Institute of Business and Business Administration of the Russian Academy of National Economy and Public Administration under the President of the Russian Federation.

Fate brought me together for the first time at the international conference of the Association of Business Schools of Central and Eastern Europe (CEEMAN) in Kyiv, where he gave a presentation on his methodology.

Over two decades of active work in Russian business education, I was lucky enough to listen to almost all the main “gurus” of modern management. If we add to this more than ten years of experience in leading one of the country’s leading business schools and the opportunity to track in practice the real applicability of the latest fashionable concept, you can understand my rather critical attitude towards world authorities in the field of management. Usually, I came to meetings with the “guru” having already formed a very definite opinion about the author based on his books, read in Russian translation or in the English original. Some of the authors made a strong impression, complementing with their unique manner of presenting material at presentations what they had previously set out in books. After that, I usually wanted to reread their books or at least review them again. The presentations of most others were disappointing. After their completion, a certain dissatisfaction remained, a subconscious doubt: “Could a man who looked so bad on stage half an hour or an hour ago really be able to write the books that made him famous?”

With Isaac Adizes, everything happened exactly the opposite. Although I was quite familiar with the theory of the life cycle of the organization that bears his name from business literature, I had not actually encountered the author’s books before this meeting and had not read them in the original. Which, however, did not at all reduce the degree of my critical bias before the presentation.

In order for the reader to feel the atmosphere of the forum that had developed when Dr. Adizes came to the podium, I would like to note that the program of the first day was very eventful. Therefore, at the end of the working day (Adizes’s speech was the last), we - deans, rectors, directors of one and a half hundred business schools in Eastern and Western Europe, Asia and America - were pretty tired. It is worth adding to this that a good half of the two hundred conference participants (including the author) were “long-livers” in business education and during their careers had the opportunity to “live” watch Michael Porter, Manfred Kae de Vries, Henry Mintzberg, not to mention let’s talk about the shockingly shallow tandem Nordstrom – Ridestrol. It was impossible to conquer such a sophisticated, and also tired, audience with a big name. It was necessary to show real professionalism. And not in a didactically soothing form, as, say, the authors of books about the “balanced scorecard,” but in the form of a sparkling presentation. Not expecting this to be the case, I deliberately sat closer to the exit in order to be able to leave the hall unnoticed. Kiev Khreshchatyk, covered with red and yellow Indian summer foliage, was a strong competitor for my evening time. However, Dr. Adizes's performance exceeded expectations. With his charisma and passion, he literally pulled us into the mode of joint analysis of complex management situations and into the search for non-trivial solutions. And his excellent sense of humor (so similar to Odessa humor) made the audience laugh and applaud every five to ten minutes.

Talented scientists and at the same time consultants-practitioners are always distinguished by metaphorical speech, the use of vivid comparisons, jokes and humor. These features are widely presented in all the articles and books of Dr. Isaac Adizes. Adizes formulates answers to questions concerning the most complex management problems so clearly and simply that many of his formulations deserve, in our opinion, to be published in the form of a special collection of management aphorisms.

* * *

It is paradoxical, but until recently the name of Isaac Adizes and his methodology were known in our country only to a narrow group of professionals. There were no translations of his books and articles into Russian. However, the situation seems to be starting to improve. Adizes' theory is becoming increasingly popular and even fashionable. Articles about his methodology are published in leading Russian business publications. Translations of books are being prepared. And, in our opinion, it is significant that among the author’s first books published in Russia is his best book: “Corporate Life Cycle Management.” Moreover, it is published by one of the best publishing houses in a high-quality, professionally executed translation, which allows preserving the harmonious logic, colorful language and sparkling humor of the author.

* * *

The book “Corporate Life Cycle Management” consists of three logically interconnected parts, which outline the key elements of the “Adizes methodology”, as well as applications and problem situations (“case studies”), combined into the fourth part.

The points and conclusions discussed earlier are illustrated and detailed here. As for the first three parts, they represent a classic research triad: analysis - analysis - synthesis. First, the author analyzes in detail the life cycle theory - the basic, constructive part of his methodology (two decades ago it was the life cycle theory that brought Adizes worldwide recognition). It is superimposed on an analysis of the personal qualities or styles that a leader of a successful organization should have. As a result of the synthesis, we get brilliant practical recommendations for improving management: consideration of which management styles should dominate or retreat into the shadows at specific stages of the life cycle.

It is worth drawing the reader's attention to the fact that the first and second parts of the methodological triad (the first and second parts of the book, respectively) are themselves practical and instrumental. They can be used each separately, since they are associated with solving problems and problems that face practicing managers every day. At the same time, it is the third, or integrating, part that carries the greatest practical potential and provides the largest number of instrumental guidelines. Reading the first or second parts is possible separately, without interconnection with each other (which allowed the author to repeatedly publish them in the form of separate books). This is not true for the third part. Understanding the third, synthetic or integrating, part of Adizes’ theory is impossible without knowledge and understanding of the material in the first and second parts. Without this, its understanding and use in practice is difficult. Let us briefly dwell on the content of the main parts of the book and the elements of Adizes’ methodology.

* * *

Anyone who has worked in business is well aware that the life cycle of an organization is similar to the life of a person. An organization is born in creative and entrepreneurial throes. Experiences the difficulties and joys of adolescence and youth. Reaches maturity. And then many organizations begin to grow old and become decrepit. They are gradually being forced out of the market by young and dynamic competitors. With old age follows organizational death. About which I just want to say: “inevitable.”

However, this is where the most intriguing part begins. Unlike people's lives, the life cycle of an organization is not limited to any time period. There are numerous examples of organizations that have been in the phase of prosperity and maturity for decades, maintaining market youth and enthusiasm. Like Dorian Gray, Oscar Wilde's famous character, these organizations seem to reveal the secret of eternal youth. Their trademarks have been on the front pages of business magazines and newspapers for decades, even centuries. Their leaders and owners become a symbol of success in life and a role model for several generations of businessmen, managers and entrepreneurs. How do they do it? After all, it is known that climbing to the top is easier than staying there.

In business, like in the mountains, at the very top it is always cold and uncomfortable. Just look, the unexpected wind of change will blow you into the abyss. This is where the test of character, physical fitness and will to win begins. Success is relaxing. And the test of success, fame, recognition that comes to a company and its management at the stage of prosperity and maturity is the most difficult. This is the time when the company's management, as they say, is tested for strength. This is a period when it suddenly becomes clear to what extent the previously achieved successes were associated with the strength of their leader’s personality, his strategic And his ability to create a cohesive team and lead it, and in some cases - the result of luck and a favorable combination of circumstances in the market. Many managers who have experienced the euphoria of success and growth in their careers are familiar with this always unexpected “moment of truth”, when they have to re-evaluate past values ​​and look for new guidelines. When the euphoria of success gives way to a kind of managerial hangover, the development of the company unexpectedly slows down, the team, which only yesterday seemed like a team of like-minded people, begins to be shaken by open and hidden conflicts, just yesterday clear prospects disappear in a shroud of fog of internal and external problems, etc. And for companies, whose leaders do not understand that it is impossible to remain “at the top” without making regular and fundamental changes, that achieving the flourishing phase is always the beginning of a new stage in the life of the organization, that this new stage is in some way more complex and responsible than the growth phase - for For these companies, growth and prosperity are followed by decline. And on the horizon, instead of radiant heights, the frightening prospect of bankruptcy and exit from the game begins to loom.

Eternal management questions: how to raise your business to the radiant peak of success? What phases of development must go through, what difficulties must be overcome, what problems must be solved in time? And most importantly, how to stay on top? How can you sense in advance where inevitable growth problems turn into organizational pathologies, deadening entire areas of the company’s activities, threatening success? The first part of Adizes’ book answers these questions.

* * *

A successful manager and leader usually has a special type of intelligence that is different from the intelligence of a scientist. This type of intelligence is called emotional intelligence. Having emotional intelligence involves the ability to persuade, inspire, and lead people. This is a special talent that has become the subject of special research in management theory in recent years. Thanks to such “gurus” of management theory as John Golon and Manfred Kae de Vries, the development of emotional intelligence is interpreted today as perhaps the most important thing for success in business. Very often, brilliant scientists have weak emotional intelligence. The same is true of many, although by no means all, excellent students. Conversely, people with intellect insufficient to master complex fundamental science Sometimes(although not often) turn out to be endowed by nature with remarkable emotional intelligence.

In this regard, I can’t help but remember how, at one of the forums of the Russian business community, a respectable man in his thirties approached me and asked: “Do you remember me? I was your student at MGIMO." Since before moving to business education, the author of these lines taught political economy and then micro- and macroeconomic theory at his alma mater for almost 16 years, the question was not surprising. And I politely and habitually replied: “Frankly, no. Sorry. And thank you for remembering me." But the conversation didn't end there. My former student continued: “But I want to remind you that I retook “Politek” for you several times and got a C from you on the final “Gek”. I want you to know that you were wrong. After all, now I am the owner and general director of Russia’s largest dealer network for the sale of foreign cars.” And he handed me his business card.

My former student was right and wrong at the same time. He is wrong because, apparently, nature deprived him of his talent as a theoretical researcher. The concepts of abstract theory were difficult for him. And he could hardly ever become a scientist. He’s right, because poor performance in theoretical and detached from life disciplines hid from me a talent of another kind, which he undoubtedly possessed - the talent of an organizer and leader.

When distributing talents, nature strives to maintain a certain fairness. Singers with strong voices and perfect pitch are rarely capable of ballet. And vice versa. You can count on one hand the number of brilliant mathematicians who had the gift of an artist or poet. Or poets who managed to make contributions to mathematics or physics. The above is also true in relation to such professions as a research scientist, a teaching consultant and a businessman or manager. This was noted in the famous aphorism question, which, it seems, arose already during the transition to the market: “If you are so smart, then why are you so poor?” Indeed, scientific intelligence is not necessarily complemented by natural business savvy and the ability to build relationships with people, to lead people, that is, emotional intelligence.

However, understanding what emotional intelligence is is much easier than breaking this concept down into its component parts. What's behind this? What traits should dominate in a leader’s character for people to believe in him and follow him? What traits should an ideal leader have? The second part of Adizes’ book is devoted to the answers to these questions. which examines the four character traits or four leadership styles that are necessary to successfully lead a company.

* * *

Your company is growing. This is good news. At the same time, you feel that you are no longer enough to solve all the problems. Attempts to further compress time no longer produce tangible results. Time for leisure, friends and family is kept to a minimum. There are no other reserves. Working with the intensity of a squirrel in a wheel increasingly gives rise to streaks of depressive mood. What about the deputies? Why don't they solve the issues? Why do you always have to intervene and correct something? It is obvious that something needs to change in the management style, in oneself and in one’s environment. But it's unclear what.

The situation described is familiar to many firsthand. In search of a way out, we turn to management science, trying to understand how to become an ideal manager and leader. However, reading books also does not improve your mood. From them it turns out that to be successful, a manager must simultaneously possess many qualities:

The ability to constantly take care of the interests of clients and the company’s image, and be ready to work tirelessly in this direction;

Be an excellent administrator, that is, be able to rationally organize, streamline, systematize the work of subordinates, establish strict and timely financial reporting and control;

Be forward looking, creative and entrepreneurial. That is, to have a strategic vision, an innate sense of innovation, a willingness to take risks, the ability to make extraordinary decisions and see the future;

To be a creator of the principles of a strong corporate culture, a teacher of the team, an experienced anti-crisis manager, a thoughtful father-integrator, a charismatic inspirer of teamwork in the name of corporate goals.

However, managers possessing all of the listed qualities do not exist in nature and cannot exist, since these qualities are mutually exclusive and cannot equally dominate the character of any person. And, therefore, it makes no sense to drive yourself into a dead end, trying to embrace the immensity.

And if this is so, then a good manager-leader should not strive to be the best everywhere, but should organize the company’s management team so that all the most important qualities and talents that are necessary for the successful growth of the company are represented in its leadership. There are not so many such basic qualities (they can be called leadership styles, manager characteristics, character dominants, or “success vitamins,” as Adizes calls them). More precisely, there are only four of them. However, according to Adizes, it is their synergistic combination that fuels a growing company, like vitamins - a living organism, ensuring success and development.

Why are there four of these management and leadership styles? And what are these styles or what are these “success vitamins”? To successfully manage a company, states Isaac Adizes, the company's management must have the following dominant character traits, and, therefore, the management must have the following four types of leaders: “Producer”, “Administrator”, “Entrepreneur” And "Integrator".

The first type of leader is a results-oriented one. "Manufacturer". He must be responsible for the production of goods and services. His role or leadership style is indicated by the Latin letter "R"- from the English word Producer. For a correct understanding, let us clarify: the result that any company should strive for is high-quality satisfaction of customer needs. If a company satisfies customer needs, customers will return to the company for products or services again and again. Clients bring their friends to the company. Market share is growing. It is in tirelessly working for the benefit of clients that the role consists of Manufacturer, and the implementation of this function is facilitated by a managerial vitamin or character dominant - "R".

However, in the market it is important not only to satisfy the customer’s needs, but also to do this at minimal cost in order to make a profit. Here are the roles of the Manufacturer already not enough. Customer Satisfaction – necessary, but far from sufficient condition for making a profit. It is possible to satisfy customer needs efficiently, spending exorbitant resources on this, more than those spent by competitors. In this case, the client will be satisfied. And the company will go bankrupt.

The problem of optimizing the use of resources is dealt with second type of leader – "Administrator" "A"- from the English word Administrator. The role of the Administrator is to streamline and systematize the company management process, minimize the resources used, and standardize document flow and procedures. To ensure that, figuratively speaking, there is no need to reinvent the wheel every time you need to go somewhere. It is through the efforts of the Administrator that a bureaucratic order is established in the company: functional responsibilities are prescribed, a procedure for approving major decisions is developed, and the rights and responsibilities of managers of various ranks are determined.

However, these two roles, while ensuring the functioning and competitiveness of the company in the present, are in no way connected with its development, with its adaptation to the rapidly changing business environment, with preparation to meet future customer needs. Developing approaches to what awaits the company tomorrow, the ability to behave proactively, and anticipate market developments requires a special gift and remarkable creativity. The role associated with the implementation of these functions is played by third type of leader -"Entrepreneur". His leadership style is indicated by the letter "E"- from the English word Entrepreneur.

An entrepreneur is a spokesman and initiator of change. He is constantly focused on the future. The present is boring and uninteresting to him. He is full of ideas and plans with which he ignites those around him. Such people are adored and feared. Especially on Mondays and after long international flights: they had time to be alone with their ideas, to analyze the situation. And they dump on their frightened subordinates a heap of revolutionary ideas that require an immediate revision of everything. And even though these ideas are often green and immature, they call for development. And let the company, because of the Entrepreneur, also remain green, make mistakes and never reach maturity. The maturity phase, when a business follows a well-worn path and management procedures turn into routine, is fraught with unexpected decline.

The fourth type of leader is "Integrator". This is a leader-manager, creator of values ​​and traditions, creator of corporate culture. His role is one of the most complex and important in managing an organization. In the Adizes methodology it is designated by the Latin letter "I"- from the English word Integrator. An integrator is not only and not even so much a good manager, but primarily a leader. This is the creator of corporate culture, the person who makes the life of the organization meaningful, creates a common system of values, norms and principles for all employees and managers, a single common strategic goal. This person voices the company’s mission and convinces everyone that it is possible, necessary and interesting to work together in the name of this mission. Thanks to his activities, organic unity is maintained in the company.

When will you not have problems? Only when there will be no changes? And when might this happen? Only when we are no longer alive.

Dinosaurs were unable to adapt to the changes.

It is not the strongest or the smartest species that survive, but those that adapt best to change. Charles Darwin

Growing up does not mean that all problems remain in the past. It implies the ability to cope with larger and more complex problems. I once sent out New Year's cards to my clients that said in large letters, "I wish you more challenges next year." And at the bottom of the card, in small letters, I wrote the following note: “Which you could easily cope with.”

Each of us is only as big as the problems we solve and overcome.

Every problem—whether it's a broken car, a dripping bathroom faucet, an inability to get along with your boss, a difficult relationship with your neighbors, or frequent conflicts with your wife—comes from something that is in the process of destruction. Successful diagnosis of any problem lies in correctly identifying what is falling apart, and successful treatment or therapy lies in integrating those parts into a new whole.

The challenge of a leader at any level - individual, family, organization or society - is to ensure continuity of change and at the same time maintain unity and integrity!

It is a mistake to assume that in order to preserve a system from collapse it is necessary to prevent change. This approach is tantamount to suicide. It inevitably leads to complete disintegration. In other words, if you do not take responsibility for breaking down the system the way you want it to and then integrating it into a better design, the system will collapse on its own with much worse consequences.

The best way to deal with change is to help make it happen.

The role of management is not to keep the system from collapsing. On the contrary, it consists of bringing about a change that causes the system to break down into its individual components, and the subsequent reintegration of these components into a new whole.

Managers of many young companies complain about how difficult it is for them to set a budget and work within budgetary constraints. To this I replied that they were lucky to encounter these problems when their organizations were young and small. They have the opportunity to learn when the cost of their mistakes is small compared to what it will be as their organizations grow and the stakes are high.

After you have advanced a little, you should stop and strengthen your rear.

This desire to set rules and regulations but not obey them comes at a cost. When I break the rules, others follow my example. What we end up with is a set of rules that no one follows, making the organization's behavior unpredictable and increasing my sense of loss of control.

You can't boss your teenage daughter around the same way you did when she was a cute baby. If you demand too much from her, she will rebel and you may completely lose control over her.

Gradually, it becomes clear to the founders how different they are from these “Varangians” “This person is not like me If I ran the company the way he does, we would never have reached such heights” This logic provokes the manifestation of the “revolving door” syndrome Hired managers quit , because “they are not suitable for us” After which the founders try to invite other types of managers who “are like us and do not sit in their offices all day”

Proper management is not a marathon, it's a relay race

Founders who remember that veterans went through the company's Infancy with them value loyalty. Veterans and founders have similar scars. So founders listen to their old

The old power structures ignore the new chain of command and go directly to the founder with complaints about the new boss.

• “It destroys the moral climate.”
• "He doesn't understand how the company works."
• "It destroys everything we have created."

And finally the final blow: “He does everything differently than you did.”

The old-timers are watching the “game” closely. When the founder first gives an example of breaking the rules, they decide that the professional manager is a “lame duck” and that all new rules can be broken without exception. Guess who will be called to the carpet after this? Guess who will have to explain why the new budget and new requirements are not met? Of course, to the new manager. This will be enough for the manager to develop strict measures for punishing violators and, thus, arouse the lasting dislike of the founder and his associates. The manager finds himself in a hopeless situation and asks himself why he accepted this offer in the first place. He feels exhausted, exhausted, disliked by others, and realizes that no one appreciated his attempts to contribute to the improvement of the organization.

If you ask the leaders of companies that have reached the Go-Go stage how they are doing, they will answer something like this: “Great! Our sales grew by 35%.” But if you ask them about profits, they will be more reserved: “I don’t know for sure. Ask your accountant."

What is Bloom? This is the optimal state of the life cycle, achieving a balance between self-control and flexibility.

Uncontrolled creativity leads to wasteful use of resources.

In aging companies, customer focus manifests itself in the form of elaborate posters placed outside the main office, often bearing the autographs of all company executives. For many aging companies, the focus on consumers ends there.

In the Courtship stage the focus is on why something should be done, while in the Infancy stage it is on what to do. In the Go-Go stage, the focus is on what still needs to be done, and through painful experiences, the organization learns what not to do. In the Heyday, companies know what they should and shouldn't do. They know what (and what not) to do, how (and how not) and why (and why not).

Change is always a challenge, and a challenge for everyone. However, the weaker ones cannot always cope with every challenge.

The main difficulty and the main problem of an organization that has reached the Prosperity stage is how to maintain it in this state.

Vladimir Horowitz, one of the world's most famous pianists, once said: “If I don't sit down at the piano for one day, then only I notice the consequences; if I don't play for a week, my wife notices the consequences; if I don’t practice for a month, the whole room notices it.”

Aging begins in the mind of a person when he becomes less and less willing to initiate changes and eventually even stops responding to them.

If the entrepreneurial spirit is dormant, the company's ability to meet changing consumer needs suffers as a result.

Mohandas Karamchand Gandhi on what is destroying us:

• politics without principles,
• pleasure without conscience,
• wealth without labor
• knowledge without character,
• business without morals,
• science without humanism,
• worship without sacrifice.

People with entrepreneurial talent - and by definition, founders of companies - profit by growing sales. People with administrative talent make a profit by cutting costs. The entrepreneur asks, “What else can we do?” The administrator asks another question: “What can we do in smaller quantities?”

One man came to work in a bureaucratic organization. Wanting to learn about the motto of this organization from its old-timers, he decided to visit the department in which he was to work. Opening the door to this department, he saw a room full of people standing up to their chins in liquid shit. Puzzled by this spectacle, he asked, “What is the motto of your organization?” In response, a barely perceptible whisper reached him: “No-e-e gon-i-i-i waves-oo-oo-oo”

Those who do not make waves, keep their mouths shut and do not disturb the status quo, receive bonuses and promotions, and those who try to change something are rejected by such an organization because they make waves that disturb the peace of the rest of the employees. Once, during my visit to such a stagnant company, one of its active employees bitterly admitted to me: “You can recognize an innovator here by the arrows sticking out of his back.”

The Talmud says: “For a believer there are no questions. There are no answers for the skeptic." Growing companies employ believers. Aging companies employ skeptics.

One of my acquaintances, being the director of a company, agreed to take a major government post and moved to Washington. We met with him immediately after his resignation was accepted. “Do you know, Isaac, what you get when you kick an elephant?” - he asked me. And he himself answered with a sigh: “I have a bruise on my leg.” I myself must admit that my own experience of working with prime ministers and other senior government officials fully confirms his conclusion.

A well-trained horse does not require a whip.

Leaders of growing organizations bring character to life through their behavior. In aging organizations, it is culture that determines leadership style.

During growth stages, people follow their leaders. As an organization ages, the picture changes: the leader now follows the people.

How members of an organization who have achieved Aristocratism deal with conflicts that arise is another characteristic of this stage of the life cycle. Italian director Vittorio de Sica illustrates a similar situation in his film “The Garden of the Fmzi-Contini.” filmed in 1971. The film shows the behavior of an aristocratic Italian-Jewish family on the eve of World War II. When the Italian fascists began to persecute the Jews, members of the Finzi-Coscini family did not believe that anything serious could happen to them. “We have lived here for a very long time,” they said, “We are one of the most famous families in Italy.” So they continued to play tennis behind the high fence of their estate, dine by candlelight in their luxurious dining room and do other usual things. Although individually each member of the family felt fear, their life as a group remained the same Fascinated by their past, they did not have the strength to look into the future Group dynamics turned out to be stronger than individual fears

Many aristocratic companies react to the premonition of impending disaster by constructing expensive and completely unnecessary new buildings. Managers spend money on form as if it can influence content. Sometimes this behavior can be observed in disintegrating families. Some couples try to rebuild their relationship by creating new commitments, such as having a child or building a new home. At the same time, they confuse cause and effect, input and result. A child or a new home should be an expression of commitment to each other. You should not expect that building a new house or having a child will ensure mutual devotion between spouses. Such actions should satisfy functional needs rather than follow a specific form. Form cannot give rise to function. It must follow the function.

Calico faces serious economic challenges. There are two options for solving them. One is rational and the other is miracle based. The rational option is that one day a wizard will come down from the heavens and save Calico.” Here I interrupted him: “If this is a rational decision, then on what miracle is the other decision based?” “A miracle will happen if the people of Calico stop feeling sorry for their asses and start really working.”

Companies that have reached the “Go-Go” stage are responsible for their own lives. Aristocratic companies want the external environment to change in a direction favorable to them.

Bureaucracy operates according to rituals rather than common sense.

You are as young as your faith, as old as your doubts; as young as your self-confidence, as old as your fear; as young as your hope, as old as your despair.

Douglas MacArthur

Imagination is more important than knowledge.

Albert Einstein

Organizations must have a vision (a purpose for existence), values, philosophies, rituals, behaviors and beliefs that unite people regardless of their functions.

The launch of a spacecraft costing billions of dollars could be delayed due to a malfunction of a device costing just a few dollars.

One post office in Hawaii needed an outdoor elevator to lift sacks of mail to the second floor of the building. The head of the department sent the application to the appropriate authorities. A few months later he received a negative response from Washington. What was the reason for the refusal? According to Washington bureaucrats, the requested elevator was not designed to operate in snowy conditions.

Conflict is a necessary and essential element of good teamwork.

A small company needed an accountant. The three selected applicants were asked the same question: “What is two plus two?” The first candidate has just completed an accounting course. Like many people without practical experience, he answered quickly and decisively: “Four! Of course four! The second candidate worked for many years at a large accounting firm. After some hesitation, he said, “I have to check with head office first.” The third applicant was a university graduate. He had a practical mind. Squinting his eyes slightly, he looked at the interviewer and asked, “What do you mean? Are you selling or buying?

Why did he think I didn't have a problem? I later realized that he had elevated me to the rank of people who had no problems, just as I had treated some other people. But everyone has problems. People who are able to make the solution to any problem simple and easy are like ducks: they look calm on the surface of the water, but underwater they develop frenzied activity.

As Mary Kay, the famous founder of a successful cosmetics retail chain, said: “If you want to see the secret of my success, look at the scars on my knees.”

Success is not measured by how often you fall, but by how many times you find the strength to get back on your feet.

Attempts to transform an infant organization into a rigidly structured and highly predictable organization usually have disastrous consequences. Leaders of most infant organizations must do all the work themselves. Why waste time on standard operating procedures that will reduce organizational agility and productivity and compromise the organization's ability to survive in a highly competitive environment?

Children who grew up in an environment of permissiveness from infancy sharply resist any attempts to limit their freedom

The stronger the decentralization, the more the organization stimulates the spirit

If you don't take pride in your work, don't do it.

There are no insignificant people. The difference is what you do and who you are. Your spirit, like your smile, can be contagious. It might ignite something.

1. All living systems strive to be efficient and productive in the short and long term.

2. All living systems strive to be efficient and productive in the short and long term by using the fixed amount of energy they have in the most productive way.

3. The factors that determine efficiency and productivity in the short and long term develop and integrate in a predictable pattern. This model is the life cycle model.

4. Whether the life cycle will develop along a short or long path depends on the integrated™ (I) system. The more integrated a system is, the less energy it requires. Consequently, in accordance with Law 2, the greater I the system has, the shorter its path to the state of Flourishing will be.

5. While changes occur, problems also exist.

6. All problems are caused by disintegration.

7. Disintegration occurs because the subsystems that make up the system do not change synchronously.

8. The role of organizational leaders is to lead change, to implement integration to solve problems caused by change, and to prepare the system to withstand the next disruption that the next change will cause.

9. Integration predicts development, and the lack of integration in a system indicates the decomposition of the system.

10. Never have more than ten laws.

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St. Petersburg: Peter, 2007. - 384 pp. For many years, Isaac Adizes has been a real guru in the field of management. He has become famous as the author of an exclusive and powerful methodology that exists to improve the efficiency and productivity of the function of organizations. This methodology is what this book is intended to describe. All organizations, like living organisms, have a life span, the stages of which are as they rise and age in predictable and repeating patterns of behavior. At each stage of formation, the organization faces a unique set of challenges. And the outcome of the organization depends on how successfully management makes the changes necessary for a healthy transition from one stage to another. The book has been translated into 14 languages. Published in Russian for the first time. It is recommended to managers of all levels, businessmen, management practitioners and teachers, as well as everyone whose interests are related to managing change and increasing the efficiency of organizations. Table of contents:
Special foreword by I. Adizes
Preface to the Russian edition
about the author
Introduction
What's new in this revised and expanded edition?
Purpose, methodology and organization
Notes
What's happening?
Change and its consequences
Continuity of problems
From prediction to acceleration
Common Cause
Life cycles and nature of problems

Typical path and optimal path
Notes
Courtship
Forming Devotion
Founder: prophet or businessman?
Proper Formation of Devotion
True love or infatuation?
Problems of the Courtship Stage
Notes
Infancy
Product orientation
Management transformation
Climate
Undercapitalization
Founder's Devotion
Authoritarian management style
Death in infancy
Problems of infancy
Notes
Stormy years: “Come on, come on”
Opportunities as challenges
Reactive sales orientation
Climate
Lack of coherence and focus
A company organized around people
Who carries out the integration?
Problems of companies that have reached the “Go-Go” stage
Notes
Rebirth and growing up: Youth
Delegation of authority
Change of leadership: from entrepreneurship to professional management
Change of target
Normal or pathological development - Divorce
Problems of the Youth Stage
Notes
Heyday
Early Bloom
Vision and values
Legalized management process
Control and education of creativity
Related Goals
Focus and Priorities
Functional systems and organizational structure
Predictable Superiority
Sales and profit growth
Organizational fecundity
Intra- and inter-organizational integration and connectivity
Problems of the Heyday Stage
Late Rise/Decline
Early Bloom Problems
Late Bloom/Bloom Problems
Notes
Signs of Aging
Comparison of Growth and Aging
From risk taking to risk aversion
From expectations exceeding results to results exceeding expectations
Cash: from scarcity to abundance
From an emphasis on function to an emphasis on form
From “why” and “what” to “how”, “who” and “why now”?
From personal contribution to personality characteristics
From asking for forgiveness to asking for permission
Problems or opportunities?
From marketing and sales departments to finance and legal departments
From line personnel to central
Responsibility and authority
Who controls whom?
Driving force or inertia
What to do? Change management or change the system?
External and internal consultants or “consultants”?
From sales orientation to profit orientation
From consumers to capital
From cash to politics
Notes
Aging Organizations: Aristocratism
Appearance requirements
Meeting facilities
Use of space
Address styles
Communications
Weakness of decision-making bodies
Overcoming conflicts and crises
Mergers and acquisitions
Calm before the storm
Waiting. (?)
Notes
Final Decline: Salem City, Bureaucracy and Death
Salem City
Witch-hunt
Bureaucracy: artificially supported life
Decay
Lack of control
Duplication system
Death
How to Determine Where a Company Is on the Life Cycle Curve
Notes Organizational Behavior Analysis
Analysis Tools
Starting points
Four management roles
Role R
Role A
Role E
Role I
Mechanistic or organic consciousness?
Checking your understanding
Role incompatibility
Incompatibility of P and I
Incompatibility of P and E
Incompatibility of P and A
Incompatibility A and I
Incompatibility of E and I
Notes
Life Cycle Prediction: Metaphorical Dance
Dance: sequence of mastering the role of PAEI on a typical path
Who is first?
Who's second?
Who's third?
Stepping on each other's feet
Healthy dance on a typical path
Addendum I to reach Heyday
Decline
Notes
PAEI and the life cycle: stage by stage
Courtship: paEi
Infancy - Paei
“Come on, come on” stage – PaEi
Youth - PAei or pAEi
Fight between A and E
Self-discipline
I value
Goals
Early bloom - PAEi
Decline - PAeI
Why does E weaken first?
Aristocratism - pAeI
Salem City - 0A0i and Red Tape - 00A0
Death - 0000
Notes
Predicting problem-solving ability
Perception of problems
Authority
Power
Influence
Authorance and CAPI
How to predict who will have control
Changing permissions throughout the life cycle
Authority and Responsibility
Behavior of power throughout the life cycle of organizations
Influence behavior over the life cycle of an organization
CAPI over the life cycle
Notes
Reasons for aging organizations
Entrepreneurial behavior during the organizational life cycle
Factors influencing entrepreneurship during the life cycle of an organization
Mental age of leadership
Functionality of leadership style
Perceived relative market share

Notes
Structural causes of aging
Functionality of the organizational structure
What is the conflict?
Structure determines strategy
The difference between growing and aging companies
Organizational colonialism
Summary
CAPI over the life cycle
Notes How to Grow a Healthy Organization
Organizational therapy
The Basics of Life and the Nature of Problems
Normal and Abnormal Problems
Nature of change
The role of the therapist
Types of Integration
Organizational integration
Adizes methodology
Successful integration
Notes
Treating Organizations on the Typical Path: A Contingency Approach
Treatment during Infancy
Treatment of companies that have reached the “Go-Go” stage
How to get out of the family trap or the founder's trap - institutionalizing E and CAPI
Problems of premature delegation at the “Go-Go” stage
Treatment at the stage of Youth
Structure meaning
Heyday
Decentralization and preventing institutional colonialism
Organizational family
Treating an Organization in Decline (PAeI)
Treatment of organizations at the stage of Aristocratism
Treatment at the Salem City stage (pAei)
Treatment of organizations at the stage of Bureaucracy (000A) and in a state of Death (0000)
Untimely and unnecessary surgery
Is it possible to use internal consultants?
Notes
Optimal way
Typical and optimal way
Optimal dance: a faster way
Typical path: comparison
Notes
Summary
Laws of transformation of organizations Applications
Appendix A Case Studies
Before the start: RR Company
Background information
Location on the life cycle curve
Action plan
Reaching Heyday: The ZZ Story
BB: the heyday that could come
Weakness A
Weakness E
Weakness P
SS Company: behavior on the optimal path
paeI - fertile womb
paEI - conception
pAEI - pregnancy
PAeI - the onset of the Heyday
PAEI - maturity, sustainable blossoming
Appendix B A Study of Some Perennial Questions
world creation
The meaning of love
Formation of a nation
Notes

Corporate life cycle management

Reviews of the book “Corporate Life Cycle Management” and the methodology of Isaac K. Adizes

Life cycle theory is the basic, constructive part of the “Adizes methodology”. It is superimposed on an analysis of the personal qualities that a leader should have. As a result of the synthesis, we receive brilliant practical recommendations for improving management.

S. P. Myasoedov. Rector of the Institute of Business and Business Administration of the Academy of National Economy under the Government of the Russian Federation

Isaac Adizes is the Charles Darwin of corporate evolution. He clearly and clearly showed what forces drive a business at different stages of its life cycle. Without understanding these dynamics, there can be no talk of any effective impact on the enterprise.

Monroe Price, Dean of Benjamin Cardozo School of Law at Yeshiva University

In three years, our operating profit grew from 630 million to more than one billion, and all thanks to I. Adizes.

Eivind Krokmo, President AdgerEnergi, Norway

I am a “techie” and solve most problems from the perspective of an engineering approach. Therefore, I believe that in order to understand the management process, it is best to simplify this process. So, no one has yet been able to do this as clearly and distinctly as Isaac Adizes, one of my teachers, a true genius in the field of management theory.

Peter W. Schulz, CEO of Porsche A.G.

Dr. Adizes, as usual, hit the nail on the head. The vast majority of business leaders will see themselves, their managers, and their organizations in this book, clearly presented and “disassembled” down to the smallest detail. Read this book and you can avoid many mistakes.

Ricardo Salinas, CEO of Television Azteka. Mexico

Your methodology has proven to be very useful in many decision-making situations, and your approach to this difficult task is a tool that I am sure many people will use in their political work.

David Oddsson, Prime Minister of Iceland

Adizes is one of America's best kept secrets. Discover it for yourself, the sooner you do it, the better it will be for you.

Kenneth Blanchard. President of Blanchard Management

SPECIAL FOREWORD BY I. ADIESES

Currently, Russia is going through a complex process of transformation, accompanied by profound changes in all spheres of life. The country is moving from a planned economy to a market economy, and this transition is accompanied by crisis phenomena in political, economic and cultural life at various levels: society, organization, family and individual.

Management methods in Russia are also changing: from administrative-command, inherited from the Soviet Union, to less hierarchical and less rigid - as required by a market economy. In addition, old managers who adhered to an authoritarian leadership style are being replaced by younger ones who are more flexible in their thinking; workers in Russia are striving to adapt to new conditions; and Russian managers are looking for management methods that combine the characteristics of Russian culture and Western efficiency.

Using the tools provided in this book (this paragraph will be better understood by those who have already read the book), we can say that transformation is characterized by attempts to weaken (A) and strengthen (E), and these changes affect (I); Thus, Russian society is, to a certain extent, experiencing a process of disintegration.

I believe that this book will provide conceptual tools that may be useful in at least a better understanding of the changes that are taking place, or ultimately in helping those changes be more productive and efficient and cause minimal disintegration.

Over the past 35 years, working with many companies in over 50 countries, I have been implementing change management systems that I myself developed and discuss in this book (one of 7 books dedicated to describing my methodology). This book was created based on the experience of working with my clients around the world, and each paragraph of it reflects what happened to real people and what conclusions I drew from analyzing their successes and failures. This book has been translated into 30 languages, and the methodology outlined in it is now used in more than 50 countries around the world. Therefore, I am firmly convinced that the material presented in it will be applicable in Russia. I sincerely hope that it will equip modern Russian managers with new methods of understanding how and why organizations change, as well as management tools to make these changes as smooth and effective as possible for achieving the short- and long-term success of their companies.

Yitzhak Calderon Adizes, PhD Santa Barbara, California

PREFACE TO THE RUSSIAN EDITION

Dear reader!

You are holding in your hands an amazingly interesting and practical book on management. I think I won't be mistaken if I say that this is the best and most complete of books, written by the famous “guru” of management theory, Dr. Isaac Adizes. At the same time, this is one of the best books on management written in the last two decades. The book sets out in its most complete version the applied management theory known throughout the world as the “Adizes methodology.”

Dr. Adizes is a prolific author. He wrote and published two dozen books on business and management, where, based on his methodology, he examined issues of the life cycle of an organization, leadership, change management, strategy, etc. But that’s not all. Every second book by Adizes became a management bestseller, which, you see, does not happen often. His books have been translated into many languages ​​and published in dozens of countries. This put the author's name on a par with the classics of management theory of the first magnitude.

However, even among the numerous bestsellers by Adizis, the book “Corporate Life Cycle Management” that you are holding in your hands occupies a special place. Why is this so? Because this is the only one of his books where the author consistently examines all three main components of his methodology, while demonstrating how this methodology is used in practice to solve the most complex management problems. And it would not be an exaggeration to say that if Adizes had written and published only this book and nothing more, this would have been enough to forever go down in the history of management thought.