Development of Development – The Power of Empty Organizational Units

Abstract

Fast-growing companies are typically managed with a strong short-term focus. Client delivery, execution, cash flow, and immediate market response dominate managerial attention. As a result, developmental functions such as organizational development, human resource development, process improvement, information technology development, market development, and new venture creation are often weakly structured or missing. The paradox is that these companies need development most when they feel least able to invest in it. This paper presents a practice-based structural model for institutionalizing development in fast-growing companies. Building on the Adizes organizational life-cycle perspective and organizational design logic, it argues that development should not begin primarily through full-time departments, but through a projected structural pathway. The model uses five mechanisms: separating short-term and long-term responsibilities, defining future units before they are fully staffed, assigning temporary role coverage with time limits, creating cross-functional developmental projects, and gradually evolving support centers into developmental units. The contribution is a practical framework for making development visible, protected, and scalable while preserving entrepreneurial agility.