The Organizational Design of Spatial Proximity and Its Influence on Organizational Learning: Evidence from a Natural Experiment

This paper establishes a causal effect of product market competition on various characteristics of organizational design. Using a unique panel dataset on firm hierarchies of large US firms (1986–1999) and a quasi-natural experiment (trade liberalization), we find that competition leads firms to flatten their hierarchies: firms reduce the number of positions between the CEO and division managers, and firms increase the number of positions reporting directly to the CEO. The results illustrate how firms redesign their organizational structure through a set of complementary choices in response to changes in their environment. We discuss several possible interpretations of these changes. (JEL D23, F13, G34, M12, M51)

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Relationship between organizational design and organizational learning

Journal of Process Management New Technologies ◽

10.5937/jpmnt1304096k ◽

2013 ◽

Vol 1 (4) ◽

pp. 96-100

Author(s):

Borislav Kolaric ◽

Snezana Petrovic

Keyword(s):

Organizational Learning ◽

Organizational Design

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Inter-organizational design fit in inter-organizational knowledge management

Sociologija ◽

10.2298/soc1403343a ◽

2014 ◽

Vol 56 (3) ◽

pp. 343-363 ◽

Cited By ~ 1

Author(s):

Ana Aleksic-Miric

Keyword(s):

Knowledge Management ◽

Organizational Learning ◽

Organization Theory ◽

Industrial Development ◽

Poverty Reduction ◽

Organizational Design ◽

Organizational Knowledge ◽

Learning By Doing ◽

Learning Mechanisms ◽

Strategic Objectives

The purpose of this paper is to analyze existing knowledge on how organizations learn using multilevel comparison perspective of intra- and inter-organizational learning and to offer deeper understanding of the role that organizational design properties have in inter-organizational learning. Using Argote and Ophir (2005) findings on similarity vs complementarity fit developed for intra-organizational learning as an anchor, we analyze the role similarity vs complementarity fit of organizational configuration and coordination properties in inter-organizational settings. Our intention is to explicitly express the role of interorganizational design fit in inter-organizational knowledge management. Framework developed here systematizes and explains how strategic objectives of network creation (exploration or exploitation) should be aligned with learning mechanisms (learning by doing or learning by listening/observing) and organizational design properties. From the point of organization theory, this paper advances knowledge about the influence organizational design as intra-organizational property has on knowledge transfer between organizations and inter-organizational learning. Our framework helps managers understand how inter-organizational design fit can influence inter-organizational learning within the network. With regard to policy making, knowledge networks are becoming increasingly important as a mechanism of industrial development support, economic growth, increase of employment and poverty reduction and this paper points to mechanisms of inter-organizational design that can be used in managing these networks.

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