Managerial Economics And Organizational Architecture
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9780073523019
ISBN:0073523011
Edition: 4th Pub Date: 2006Publisher: McGraw-Hill College Summary: With two distinct objectives, this text' s approach to managerial economics takes models from recent economics research and applies the research to the internal structure of a firm. After teaching basic applied economics, the authors look inside the firm and apply this analysis to management decision making. Authors Brickley, Smith, and Zimmerman contend that organizational architecture consists of three aspects of c [read more]
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9780073523019
ISBN:
0073523011
Edition: 4th
Pub Date: 2006
Publisher: McGraw-Hill College
With two distinct objectives, this text' s approach to managerial economics takes models from recent economics research and applies the research to the internal structure of a firm. After teaching basic applied economics, the authors look inside the firm and apply this analysis to management decision making. Authors Brickley, Smith, and Zimmerman contend that organizational architecture consists of three aspects of corporate organization: the assignment of decision rights within the company; methods of rewarding individuals; the structure of systems to evaluate the performance of both individuals and business units. These three components can be likened to a stool with three legs. If one of the legs is shorter, the stool is out of balance. These three elements must be in balance in the organization as well.
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