The Diffusion of an Administrative Innovation

David Teece

Management Science, 1980, vol. 26, issue 5, 464-470

Abstract: This paper examines the diffusion of a particular kind of multidivisional administrative structure---the "M-Form"---in two classes of large industrial firms. The M-Form organization is a multidivisional structure with quasi-independent divisions which are assigned profit center standing and which are monitored and guided by a headquarters organization. A simple deterministic model commonly employed to represent the diffusion of technological innovations is utilized to explain the diffusion of the M-Form structure. The commendable performance of the model suggests that additional insights from the study of technological innovation can be applied with advantage to the study of administrative innovation.

Keywords: economics; organizational studies: design; research and development (search for similar items in EconPapers)
Date: 1980
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Citations: View citations in EconPapers (41)

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Persistent link: https://EconPapers.repec.org/RePEc:inm:ormnsc:v:26:y:1980:i:5:p:464-470

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