 The Economics of Business Process Design: Motivation, Information and Coordination within the FirmPeter J. Buckley and Martin J. Carter Chapter 8 in International Business, 1998, pp 186-216 from Palgrave Macmillan Abstract: Abstract This chapter presents a transaction cost analysis of the internal business processes of firms. Business processes are collections of activities which are technologically or managerially linked so that they jointly affect value added. Their organisation is characterised by their ‘architecture’ - the allocation of responsibilities amongst individuals and groups and communication between them for information and coordination - and their incentive structure. The overall costs of organisation are determined by losses due to imperfect motivation of process members, which flows from the incentive structure, and imperfect information and coordination, which flow from the architecture, together with the resource costs associated with incentives and architecture. Perfect motivation corresponds to ‘team behaviour’ and a quantitative model, based on team theory, indicates how the best architecture depends on the degree interaction between activities comprising the business process. Keywords: Transaction Cost; Business Process; Organisation Design; Total Quality Management; International Joint Venture (search for similar items in EconPapers) There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-349-26416-2_8 Ordering information: This item can be ordered from DOI: 10.1007/978-1-349-26416-2_8 Access Statistics for this chapter More chapters in Palgrave Macmillan Books from Palgrave Macmillan |
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