Levels of organisational development - Level 4 - Expansion level

Levels of organisational development – Level 4

Expansion level

Level 4 of the 6 levels of organisational development is the expansion level of organisational development

This post continues from:

The Levels of Organisational Development- Level 1 or the Formation Stage, 

Levels of Organisational Development – Level 2 – The formalisation stage of organisational development

Levels of Organisational Development – Level 3  –  the integration stage of development


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The 6 Levels of Organisational Development

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Level 4: Expansion level 

The distinctive features of the expansion level of organisational development is characterised by 4 major elements: –

  1. Competition within the organisation
  2. Insufficient delegation
  3. Lack of corporate-wide culture
  4. No measurement of indicators


expansion stage


Competition within the organisation

Competition now starts to appear between departments to achieve better results. They are now competing against each other to achieve their own personal departmental goals and indicators and to obtain more of the centralised resources of the organisation.


Insufficient delegation

Insufficient delegation of authority to the ‘lower’ management levels. This level of organisational development is characterised by decisions being made at levels higher than necessary. This considerable slows down decision making and slows the organisational responsiveness to external factors.


Lack of corporate-wide culture

c)    Absence of an organisation wide corporate culture (principles, values and policies). We tend to find this stage of development characterised by a dog-eat-dog competitive culture with departmental or unit cultures driving behaviour and thinking.


No measurement of internal indicators

d)    Absence of a system for measuring loyalty, satisfaction and emotional commitment of employees.


In this stage of development we tend to find that key operational indicators of employees’ activities are developed aimed at improving employees’ motivation and developing a results oriented work environment. Additionally there is often an introduction of ‘internal entrepreneurship’, which includes changing the organisation structure and management accounting system within the organisation to produce better financial results (more sales). This is often accompanied by the introduction of competence based approaches to personnel development and effort to control and boost productivity.


In my next post I will look at Level 5 of the 6 levels of organisational development

You can get a complete explanatory infographic of the 6 levels of organisational development including the full reference to this study


What you should to know about the organizational levels of development

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David Wilkinson

David Wilkinson is the Editor-in-Chief of the Oxford Review. He is also acknowledged to be one of the world's leading experts in dealing with ambiguity and uncertainty and developing emotional resilience. David teaches and conducts research at a number of universities including the University of Oxford, Medical Sciences Division, Cardiff University, Oxford Brookes University School of Business and many more. He has worked with many organisations as a consultant and executive coach including Schroders, where he coaches and runs their leadership and management programmes, Royal Mail, Aimia, Hyundai, The RAF, The Pentagon, the governments of the UK, US, Saudi, Oman and the Yemen for example. In 2010 he developed the world's first and only model and programme for developing emotional resilience across entire populations and organisations which has since become known as the Fear to Flow model which is the subject of his next book. In 2012 he drove a 1973 VW across six countries in Southern Africa whilst collecting money for charity and conducting on the ground charity work including developing emotional literature in children and orphans in Africa and a number of other activities. He is the author of The Ambiguity Advanatage: What great leaders are great at, published by Palgrave Macmillian. See more: About: About David Wikipedia: David's Wikipedia Page