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Revision with unchanged content. Organizational decline is often viewed as an inevitable regression. This research, based upon a study of five free church communities addresses the psychodynamic and cultural nature of neurotic groups which underwent healthy transformation. This is significant since the leaders of such churches by definition have little by way of legitimate authority by which to levrage change. The work shows the richness of insight derivable from an interplay of family systems, cultural and psychodynamic lenses including Bion, Kets de Vries and object relations theorists. The narratives show that ethical leaders have a catalytic role in fostering renewed cultures by addressing regressive aspects, especially those suffused within a repressive dogma. Pugh explores the overlap between the ensuing culture and the relational attributes of the Trinity as explicated by Volf and Moltmann. A set of hopeful prescriptions for the leader or intereventionist is proposed. The work has relevance to researchers and leaders who seek to renew all types of organizations, parti cularly those whose declines stem from deeply embedded and ideologically justified neuroses.

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is a practical theologian, consultant and ordained pastor. He is Postgraduate Dean at the Bible College Of Victoria (Australia). His research interests include organizational change and transformational leadership with particular reference to church organizations. His five degrees are in economics, anthropology and theology.

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