Identify a Difference Between the Crisis Stage and the Dissolution

question 13

Multiple Choice

Identify a difference between the crisis stage and the dissolution stage of organizational decline.

• A) Decline is reversible at the crisis stage, whereas it is irreversible at the dissolution stage.
• B) The crisis stage is the first stage of organizational decline, whereas the dissolution stage is the fifth stage of organizational decline.
• C) In the crisis stage, management announces belt-tightening plans designed to cut costs, increase efficiency, and restore profits, whereas in the dissolution stage, management recognizes the need to change but still takes no action.
• D) In the crisis stage, managers fail to recognize the internal or external changes that will harm their organizations, whereas in the dissolution stage, managers assume that if they just run a tighter ship, company performance will return to previous levels.

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Definitions:

Life Cycle

A series of stages through which an entity (such as a product, project, or organism) goes from its inception to its termination or end.

Task Performance

Involves the execution or accomplishment of a specific job or function, measuring how well an individual or group carries out assigned duties and responsibilities.

Storming Stage

The phase in team development characterized by conflict and competition as team members establish roles.

Performing Stage

The phase in team development where the group functions harmoniously towards achieving its goals.