As the size and complexity of a company change in the course of its evolution, it experiences predictable stages of growth. During these stages, a company discovers that what worked in the past no longer works. At such times, managers have to juggle organizational evolution as they reinvent new ways of structuring the company. Typically, tension develops as one variable is stressed at the expense of the others. Managers need to know how to delegate decision making without abdicating overall control of the organization. The model developed here derives from the authors' understanding of how successful firms have managed these tensions.

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