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| Author: | Aoki, M. |
| Title: | Horizontal vs. vertical information structure of the firm. |
| Journal: | American Economic Review
1986 : DEC, VOL. 76:5, p. 971-983 |
| Index terms: | ORGANIZATIONAL COMMUNICATION DECISION MAKING PRODUCTION COSTS CORPORATE STRUCTURE JAPAN USA |
| Language: | eng |
| Abstract: | The efficiency of two information structures,hierarchical and vertical,of the firm in coordinating operational decisions among technologically interrelated shops whose costs are uncertain is compared. In the first,the capability of the management to monitor and respond to emergent events at the shop level is bounded. In the second, production decisions are coordinated among shop without the centralization of information,whose capability of semiautonomous problem solving improves through learning by doing. The study is motivated by a US - Japan comparison of industrial organizations. |
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