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Organizational size and efficiency: An information processing view

Author

Listed:
  • Burton, Richard M.
  • Minton, John W.
  • Obel, Børge

Abstract

The relationship between organizational size and performance has long been of interest. Size, however, has been defined and measured in global ways, resulting in few (if any) unequivocal findings. Three specific dimensions of size--as measured by the number of headquarter resources and policies, the number of products or services, and the number of resources and services of subunits -- were analysed in relation to organizational performance efficiency in a computer simulation. Analyses of simulation results suggest that some dimensions of size, particularly the number of headquarter resources and policies, are related significantly to performance efficiency.

Suggested Citation

  • Burton, Richard M. & Minton, John W. & Obel, Børge, 1991. "Organizational size and efficiency: An information processing view," Scandinavian Journal of Management, Elsevier, vol. 7(2), pages 79-93.
    • Handle: RePEc:eee:scaman:v:7:y:1991:i:2:p:79-93
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    Cited by:

    1. Hart E. Posen & Dirk Martignoni & Daniel A. Levinthal, 2013. "E Pluribus Unum: Organizational Size and the Efficacy of Learning," DRUID Working Papers 13-09, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.

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