The changes in recent years, through poor communication, changes in strategy and general levels of increased stress had taken their toll on the staff. Today, unlike things in 2011, productivity was down, patient care was diminishing, and the knock-on effect was seeing the hospital spiral into demise.Low morale in any team is hard to lift once a downward spiral begins. While low morale is not the cause the demise of an organization, it is, nonetheless a contributory factor and increases the negative effects of whatever lies at the root of the problems. A domino effect soon follows, and with poorly motivated, depressed, and uncommunicating employees, and the negative energy is compounded leading to an eventual demise of a company. People are the greatest asset to any organization, and if moral and motivation are low, the business will ultimately perform poorly.Declining businesses and poor operational management practices can be attributed to internal and external factors. From the maintenance of quality service standards to the financial, social, and political aspects, there are many deficiencies responsible for the demise of an organization. The ability of institutions to recognize these limitations can provide the value and the protection needed to address deficiencies in a healthy and structured manner. Looking at the power of dynamic in managerial systems, and the significant disconnect between stakeholders, leaders, and managers, organizational decline, and eventual demise are explored.In the current competitive business environment, it is crucial for organizations to consider financial, management, employee-related, legal, social, technological, and ethical issues that affect the success of a business. For an organization to compete competitively it must continuously adapt to frequent changes. The capability to manage organizational change caused by external factors will result in change of operations. An organizational cycle comprises of four phases: start-up, growth, maturity, and decline. A business begins as an idea and finally grows to become a well-established organization. As the business expands, more resources are distributed to assist in decision-making process and ensure the growth of the organization. At the maturity phase, the business starts to decline unless it diversifies its operation strategy to meet existing market opportunities. Development of modern technology, resistance to change, and competition can result in the demise of an organization.Organizational death has been linked with low productivity and motivation among employees. Job security is a key factor that motivates employees. Organizations have changed their operation principles where employees predict career growth for their commitment toward achieving organizational goals. Demotivated employees are less productive thus leading an organization to incur financial loss. The closure of an organization negatively affects all stakeholders.The greatest deficiency that is seen in the demise of an organization clearly lays in people and their abilities to solve problems, lead, and communicate. This is just the tip of the iceberg and once one digs deeper the deficiencies can be pinpointed and resolved, but to achieve this one must step back and take a critical look at the organization and be honest. To find the 101 deficiencies that can lead to a demise of organization, one needs to open one's eyes and face the facts.Organizations should hire competent managers and employees who will help in making the right decisions for the organization.