I used this quote in an article I wrote in ACM's "Communications of the ACM" ["The Reorg Cycle" February 2003, Vol 46. No. 2. pp 19-22].  I called it "apocryphal" insofar as it is generally ascribed to Gaius Petronius Arbiter.  I have seen ol' Gaius variously described as the author of Satyricon and a member of the Greek Navy.  The latter is unlikely since Gaius Petronius is a most Roman name and the Greeks mostly used citizens in their navy.  No matter. 
I used the quote as an intro to the idea that reorgs are simply a single-dimensional hierarchical management reaction to a multi-dimensional and event-driven reality.  Basically management can focus only on one major aspect of a business.  Over time, this focus tends to fix whatever problems that aspect was experiencing but at the expense of other aspects.  Sooner or later, usually when management changes, someone comes along and says "why are we organized by 'x'?  We don't have problems with 'x'.  We should be organized by 'y'"  And so they reorganize--until the problems with 'y' are fixed and 'x' is again broken, that is.

The word "reorganize" is a mixture of Latin and Greek.  The "re" prefix can mean "again" and the Greek word "organon" means "tool"--so reorganizing is "retooling"--fair enough, eh?

However, "re" can also mean "against" and "organize" is partly derived from the Greek root "ergon" meaning "work" which, in many cases is much more apt IMO.