Coordination and delay in hierarchies

Andrea Patacconi

RAND Journal of Economics, 2009, vol. 40, issue 1, 190-208

Abstract: This article studies hierarchical organizations where concerns for fast execution are important and employees must be coordinated to avoid wasteful duplications of effort. Simple conditions are provided for the time spent on coordinating subordinates to be increasing and the span of control to be decreasing as one goes up the hierarchy, with equalities holding if delay is all that matters. When returns to specialization are substantial, the span of control also tends to widen and the hierarchy to flatten as urgency increases. The model suggests that concerns for fast execution may be key in explaining recent trends toward decentralization and delayering in firms.

Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

Downloads: (external link)
https://doi.org/10.1111/j.1756-2171.2008.00061.x

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:randje:v:40:y:2009:i:1:p:190-208

Ordering information: This journal article can be ordered from
http://www.blackwell ... al.asp?ref=0741-6261

Access Statistics for this article

RAND Journal of Economics is currently edited by James Hosek

More articles in RAND Journal of Economics from RAND Corporation Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().