By the end of Stage II, the computer budget generally exceeds revenue growth and becomes a control concern for senior management. Senior management then intercedes to curtail the rapid growth. In Stage III, slack is "squeezed out" by enforcing a higher level of control through tighter budgeting, full chargeout systems, and disciplined project management. In the "Control" Stage, the rapid growth of the "Contagion" Stage slows somewhat as tighter control measures are imposed on IT usa ge and spending. High control and low slack promote high levels of efficiency, but stave off innovation necessary to allow and to encourage IT to permeate all organizational functions. Striking the proper balance between control and organizational slack is the critical management decision which promotes effective organizationallearning through the stages.