IDEAS home Printed from https://ideas.repec.org/p/hal/journl/hal-00160369.html
   My bibliography  Save this paper

Organizational performance in hierarchies and communities of practice

Author

Listed:
  • Murat Yildizoglu

    (GREThA - Groupe de Recherche en Economie Théorique et Appliquée - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique)

  • Olivier Dupouët

Abstract

In an earlier article we studied the Communities of Practice and their conditions of emergence using an Agent based model with a set of agents facing a continuous flow of problems. We now center our analysis on the performance of this organizational structure compared to a two-level hierarchical delegation structure. Our results show the crucial role played by the communication and the specialisation of agents; especially that community structures are efficient for competence building and learning in the long term. This paper backs the claim made by (Bowles, S., Gintis, H., 2002. Social capital and community governance. The Economic Journal 112, 419–437.) that hierarchy and communities are complementary modes of governance.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Murat Yildizoglu & Olivier Dupouët, 2003. "Organizational performance in hierarchies and communities of practice," Post-Print hal-00160369, HAL.
    • Handle: RePEc:hal:journl:hal-00160369
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Jan W. Rivkin & Nicolaj Siggelkow, 2003. "Balancing Search and Stability: Interdependencies Among Elements of Organizational Design," Management Science, INFORMS, vol. 49(3), pages 290-311, March.
    2. Patrick Bolton & Mathias Dewatripont, 1994. "The Firm as a Communication Network," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(4), pages 809-839.
    3. Samuel Bowles & Herbert Gintis, 2002. "Social Capital and Community Governance," Economic Journal, Royal Economic Society, vol. 112(483), pages 419-436, November.
    4. Oliver Hart & John Moore, 2005. "On the Design of Hierarchies: Coordination versus Specialization," Journal of Political Economy, University of Chicago Press, vol. 113(4), pages 675-702, August.
    5. Delmastro, Marco, 2002. "The determinants of the management hierarchy: evidence from Italian plants," International Journal of Industrial Organization, Elsevier, vol. 20(1), pages 119-137, January.
    6. Kazunari Ishida & Toshizumi Ohta, 2001. "On a Mathematical Comparison between Hierarchy and Network with a Classification of Coordination Structures," Computational and Mathematical Organization Theory, Springer, vol. 7(4), pages 311-330, December.
    7. Olivier Dupouët & Murât Yildizoglu & Patrick Cohendet, 2003. "Morphogenèse de communautés de pratique," Revue d'Économie Industrielle, Programme National Persée, vol. 103(1), pages 91-110.
    8. Kathleen M. Carley & Zhiang Lin, 1997. "A Theoretical Study of Organizational Performance Under Information Distortion," Management Science, INFORMS, vol. 43(7), pages 976-997, July.
    9. Aris Ouksel & Ronald Vyhmeister, 2000. "Performance of Organizational Design Models and Their Impact on Organization Learning," Computational and Mathematical Organization Theory, Springer, vol. 6(4), pages 395-410, December.
    10. Visser, Bauke, 2000. "Organizational communication structure and performance," Journal of Economic Behavior & Organization, Elsevier, vol. 42(2), pages 231-252, June.
    11. Luis Garicano, 2000. "Hierarchies and the Organization of Knowledge in Production," Journal of Political Economy, University of Chicago Press, vol. 108(5), pages 874-904, October.
    12. John Seely Brown & Paul Duguid, 1991. "Organizational Learning and Communities-of-Practice: Toward a Unified View of Working, Learning, and Innovation," Organization Science, INFORMS, vol. 2(1), pages 40-57, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Carayol, Nicolas & Roux, Pascale & YIldIzoGlu, Murat, 2008. "Inefficiencies in a model of spatial networks formation with positive externalities," Journal of Economic Behavior & Organization, Elsevier, vol. 67(2), pages 495-511, August.
    2. Nathalie Lazaric & Alain Raybaut, 2014. "Do incentive systems spur work motivation of inventors in high tech firms? A group-based perspective," Journal of Evolutionary Economics, Springer, vol. 24(1), pages 135-157, January.
    3. , D. & Tessone, Claudio J. & ,, 2014. "Nestedness in networks: A theoretical model and some applications," Theoretical Economics, Econometric Society, vol. 9(3), September.
    4. Nathalie Lazaric & Alain Raybaut, 2014. "Do incentive systems spur work motivations of inventors in high-tech firms," Post-Print halshs-00930186, HAL.
    5. M. Koenig & Claudio J. Tessone & Yves Zenou, "undated". "A Dynamic Model of Network Formation with Strategic Interactions," Working Papers CCSS-09-006, ETH Zurich, Chair of Systems Design.
    6. Murat YILDIZOGLU, 2009. "Evolutionary approaches of economic dynamics (In French)," Cahiers du GREThA (2007-2019) 2009-16, Groupe de Recherche en Economie Théorique et Appliquée (GREThA).
    7. Widad Guechtouli, 2006. "Learning in a community of practice : Complete vs. incomplete information," Working Papers halshs-00410764, HAL.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Filippo Belloc & Gabriel Burdin & Fabio Landini, 2020. "Corporate Hierarchies and Labor Institutions," Department of Economics University of Siena 827, Department of Economics, University of Siena.
    2. Belloc, Filippo & Burdin, Gabriel & Landini, Fabio, 2020. "Corporate Hierarchies under Employee Representation," IZA Discussion Papers 13717, Institute of Labor Economics (IZA).
    3. Daron Acemoglu & Philippe Aghion & Claire Lelarge & John Van Reenen & Fabrizio Zilibotti, 2007. "Technology, Information, and the Decentralization of the Firm," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(4), pages 1759-1799.
    4. Nicholas Bloom & Luis Garicano & Raffaella Sadun & John Van Reenen, 2014. "The Distinct Effects of Information Technology and Communication Technology on Firm Organization," Management Science, INFORMS, vol. 60(12), pages 2859-2885, December.
    5. Maria Guadalupe & Hongyi Li & Julie Wulf, 2014. "Who Lives in the C-Suite? Organizational Structure and the Division of Labor in Top Management," Management Science, INFORMS, vol. 60(4), pages 824-844, April.
    6. Raffaella Sadun & John Van Reenen & Nick Bloom, 2008. "Measuring And Explaining Decentralization Across Firms And Countries," 2008 Meeting Papers 246, Society for Economic Dynamics.
    7. Àlex Arenas & Antonio Cabrales & Leon Danon & Albert Díaz-Guilera & Roger Guimerà & Fernando Vega-Redondo, 2010. "Optimal information transmission in organizations: search and congestion," Review of Economic Design, Springer;Society for Economic Design, vol. 14(1), pages 75-93, March.
    8. Oliver Hart & John Moore, 2005. "On the Design of Hierarchies: Coordination versus Specialization," Journal of Political Economy, University of Chicago Press, vol. 113(4), pages 675-702, August.
    9. Wouter Dessein & Richard Holden, 2022. "Organizations with Power-Hungry Agents," Journal of Law and Economics, University of Chicago Press, vol. 65(S1), pages 263-291.
    10. Luis Otávio Façanha & Marcelo Resende, 2006. "Hierarchical Structure in Brazilian Industrial Firms: an Econometric Study," Economics Working Papers ECO2006/1, European University Institute.
    11. Harsh Ketkar & Maciej Workiewicz, 2022. "Power to the people: The benefits and limits of employee self‐selection in organizations," Strategic Management Journal, Wiley Blackwell, vol. 43(5), pages 935-963, May.
    12. Luis Façanha & Marcelo Resende, 2010. "Determinants of hierarchical structure in industrial firms: an empirical study," Economics of Governance, Springer, vol. 11(3), pages 295-308, June.
    13. Ricardo Alonso & Wouter Dessein & Niko Matouschek, 2008. "When Does Coordination Require Centralization?," American Economic Review, American Economic Association, vol. 98(1), pages 145-179, March.
    14. Andrew J. Epstein & Jonathan D. Ketcham & Sean Nicholson, 2010. "Specialization and matching in professional services firms," RAND Journal of Economics, RAND Corporation, vol. 41(4), pages 811-834, December.
    15. Milton Harris & Artur Raviv, 2002. "Organization Design," Management Science, INFORMS, vol. 48(7), pages 852-865, July.
    16. , & , M. & ,, 2013. "Hierarchical cheap talk," Theoretical Economics, Econometric Society, vol. 8(1), January.
    17. John C. Butler & Jovan Grahovac, 2012. "Learning, Imitation, and the Use of Knowledge: A Comparison of Markets, Hierarchies, and Teams," Organization Science, INFORMS, vol. 23(5), pages 1249-1263, October.
    18. Deishin Lee & Eric Van den Steen, 2010. "Managing Know-How," Management Science, INFORMS, vol. 56(2), pages 270-285, February.
    19. Morikawa, Masayuki, 2015. "Are large headquarters unproductive?," Journal of Economic Behavior & Organization, Elsevier, vol. 119(C), pages 422-436.
    20. Pérez, Jessica Helen & Iranzo Sancho, Susana, 2012. "Determinants of Decentralization within the Firm: Some Empirical Evidence from Spanish Small and Medium- Sized Enterprise," Working Papers 2072/211755, Universitat Rovira i Virgili, Department of Economics.

    More about this item

    JEL classification:

    • D2 - Microeconomics - - Production and Organizations
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:journl:hal-00160369. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.