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Organization Design
Open accessAbstract
This paper attempts to explain organization structure based on optimal coordination of interactions among activities. The main idea is that each manager is capable of detecting and coordinating interactions only within his limited area of expertise. Only the CEO can coordinate company wide interactions. The optimal design of the organization trades off the costs and benefits of various configurations of managers. Our results consist of classifying the characteristics of activities and managerial costs that lead to the matrix organization, the functional hierarchy, the divisional hierarchy, or a fiat hierarchy. We also investigate the effect of changing the costs of various managers on the nature of the optimal organization, including the extent of centralization.
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Citations
Cited by
Diamantopoulos, A., & Siguaw, J. A. (2006) · British Journal of Management · doi:10.1111/j.1467-8551.2006.00500.x · Cited by 3,410
Balancing Search and Stability: Interdependencies Among Elements of Organizational Design
Rivkin, J. W., & Siggelkow, N. (2003) · Management Science · doi:10.1287/mnsc.49.3.290.12740 · Cited by 900
Speed and Search: Designing Organizations for Turbulence and Complexity
Siggelkow, N., & Rivkin, J. W. (2005) · Organization Science · doi:10.1287/orsc.1050.0116 · Cited by 734
Metadata
- Authors
- Harris, M., & Raviv, A.
- Venue
- Management Science
- Published
- 2002-07
- Volume
- 48
- Issue
- 7
- Pages
- 852-865
- ISSN
- 0025-1909 (ISSN-L)
- 1526-5501
- OpenAlex
- W2912738957
- Cited by
- 178
- References
- 0
- FWCI
- 16.03
- Type
- journal article
- Language
- en
- Open access
- green
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- CoChat. (2026). Citation check: Organization Design. https://app.cochat.ai/papers/10.1287/mnsc.48.7.852.2821
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- Harris, M., & Raviv, A. (2002). Organization Design. Management Science. https://doi.org/10.1287/mnsc.48.7.852.2821
Data sources
Bibliographic data: Semantic Scholar, OpenAlex, Crossref.
Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
