1 Dynamic Efficiency of Networks

نویسنده

  • Bart Nooteboom
چکیده

This chapter takes a dynamic view in a double sense: how do different forms of organization develop in time, and how do they perform with respect to innovation? On the basis of a theory of organizational learning, an attempt is made to explain the relative advantages of large, integrated forms and disintegrated forms of organization (networks). Disintegration and differentiation are required for radical innovation by means of novel combinations in tacit knowledge. When knowlege becomes documented, integration across larger distances becomes feasible, and when economy of scale obtains integration is required to achieve productive efficiency. When technology is systemic, integration is required for coordination of production and incremental innovation. Disintegrated forms can survive more permanently when there are no effects of scale, technology is stand-alone and incremental innovation requires fast response. Large firms can achieve radical innovation when they form federated structures or a "virtual firm", thus emulating networks while retaining some advantages in coordination.

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تاریخ انتشار 1999