A company with declining performance. A rigid bureaucratic organization. What is now eroding the Japanese-style organization that brought about unprecedented prosperity after the war? This book examines the three "fatal diseases" of "entrenchment in past success," "the transformation of functional bodies into communities," and "excessive adaptation to the environment" through case studies of large organizations such as the Toyotomi clan and the Imperial Japanese Army and Navy. It proposes a new way for organizations to survive in this time of great change. A modern classic that is the culmination of the author's twenty years of research on organizational theory.