Publications

February 2024
Article

Come Together: Firm Boundaries and Delegation

By: Laura Alfaro, Nick Bloom, Paola Conconi, Harald Fadinger, Patrick Legros, Andrew F. Newman, Raffaella Sadun and John Van Reenen

We develop an incomplete-contracts model to jointly study firm boundaries and the allocation of decision rights within them. Integration has an option value: it gives firm owners authority to delegate or centralize decision rights, depending on who can best solve... View Details

Keywords: Boundaries; Decision Choices and Conditions; Risk and Uncertainty

Sep 2007 - 2007
Conference Presentation

Antecedents of Boundary Spanning in Cross-functional NPD Teams

By: James R. Dillon, Shikhar Sarin and Amy C. Edmondson

Boundary spanning has been shown in prior research to enhance innovativeness and performance of product development teams. In this study, we examine team conditions that foster boundary spanning behavior. We analyze survey data from 207 members of 54 cross-functional... View Details

Keywords: Product Development; Innovation and Invention; Groups and Teams; Behavior; Performance Improvement; Boundaries; Leadership Style; Product; Complexity; Integration; Power and Influence

12 Oct 2022
Video

Ifeoma Ajunwa: Limitless Boundaries of Employee Surveillance

2009
Other Paper

Trade Policy and Firm Boundaries

By: Laura Alfaro, Paola Conconi, Andrew F. Newman and Harald Fadinger

We examine how trade policy affects firms' organizational choices. We embed a model of firms' vertical integration decisions into a standard perfectly-competitive international trade framework. In the model, integration decisions are driven by a trade-off... View Details

Keywords: Trade; Policy; Ownership; Business and Government Relations; Vertical Integration; Boundaries

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2007
Working Paper

Modularity, Transactions, and the Boundaries of Firms: A Synthesis

By: Carliss Y. Baldwin

This paper constructs a unified theory of the location of transactions and the boundaries of firms. It proposes that systems of production can be viewed as networks of tasks. Transactions, defined as mutually agreed-upon transfers with compensation, are located... View Details

Keywords: Geographic Location; Market Entry and Exit; Market Transactions; Industry Structures; Production; Boundaries; Theory

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1991
Chapter

The Boundaries of the Firm

By: J. L. Badaracco Jr.

Keywords: Business Ventures; Boundaries

2010
Working Paper

Trade Policy and Firm Boundaries

By: Laura Alfaro, Paola Conconi, Harald Fadinger and Andrew F. Newman

We study how trade policy affects firms' ownership structures. We embed an incomplete contracts model of vertical integration choices into a standard perfectly-competitive international trade framework. Integration decisions are driven by a trade-off between the... View Details

Keywords: Trade; Policy; Vertical Integration; Business and Government Relations; Boundaries; Ownership; Mathematical Methods

November 2016 (Revised December 2016)
Module Note

Strategy Execution Module 7: Designing Asset Allocation Systems

By: Robert Simons

This module reading provides tools and analyses for acquiring and allocating resources. The module begins by reviewing the importance of setting strategic boundaries as a basis for asset acquisitions. Next, a distinction is made between new assets acquired to meet... View Details

Keywords: Management Control Systems; Implementing Strategy; Execution; Asset Allocation Systems; Payback; Discounted Cash Flow; Internal Rate Of Return; Strategic Investments; Analyzing Acquisitions; Strategy; Capital Budgeting

Keywords: by Laura Alfaro, Nick Bloom, Paola Conconi, Harald Fadinger, Patrick Legros, Andrew F. Newman, Raffaella Sadun, and John Van Reenen

08 Jan 2018
Working Paper Summaries

Come Together: Firm Boundaries and Delegation

18 Sep 2007
Working Paper Summaries

Modularity, Transactions, and the Boundaries of Firms: A Synthesis

Keywords: by Carliss Y. Baldwin

January 1989 (Revised June 1993)
Case

General Electric: Compliance Systems

By: Robert L. Simons

After General Electric (GE) is indicted in 1985 for defrauding the Department of Defense, Chairman John F. Welch takes dramatic steps to prevent a recurrence. This case documents the new systems and procedures that are put in place to ensure that all GE employees are... View Details

Keywords: Policy; Contracts; Business or Company Management; Communication; Business History; Behavior; Boundaries; Management Style; Cost Management; Electronics Industry

30 Nov 2017
News

Law, Management, and Strategy: Collapsing Boundaries and Managing the Interstices

February 2008
Article

Where Do Transactions Come From? Modularity, Transactions, and the Boundaries of Firms

By: Carliss Y. Baldwin

This article constructs a theory of the location of transactions and the boundaries of firms in a productive system. It proposes that systems of production can be viewed as networks, in which tasks-cum-agents are the nodes and transfers—of material, energy and... View Details

Keywords: Boundaries; Production; Market Transactions; Supply Chain; Management; Cost; Theory; Performance Productivity; Information Management; Complexity

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08 Apr 2002
Research & Ideas

How to Negotiate “Yes” Across Cultural Boundaries

with no place to hide." ... dispute resolution can look very different in different cultures.—James K. Sebenius U.S. companies like Stone—and others from cultures with strong legal systems—frequently underestimate the power of informal influences because they... View Details

Keywords: by James K. Sebenius

April 1991 (Revised May 2017)
Teaching Note

Automatic Data Processing: The EFS Decision

By: Robert Simons

Teaching Note for (9-190-059). View Details

Keywords: Strategy And Execution; Management Control Systems; Boundary Systems; Information Technology; Decision Making

1989
Chapter

On Technological Evolution within and of Industry Boundaries

By: T. Khanna

Keywords: Technological Innovation; Industry Structures; Boundaries

November 2016 (Revised December 2016)
Module Note

Strategy Execution Module 14: Managing Strategic Risk

By: Robert Simons

This module reading provides an overview of the business conduct boundaries, strategic boundaries, and internal control systems used to manage risk. Boundary systems—linked to clear, enforceable sanctions—are essential whenever demanding performance goals are set and... View Details

Keywords: Management Control Systems; Implementing Strategy; Strategy Execution; Boundary Systems; Innovation; Internal Controls; Fraud; Human Behavior; Staff Experts; Strategy; Risk Management; Behavior; Governance Controls; Management Practices and Processes; Boundaries; Employees; Business Strategy; Innovation and Invention

September 2013
Article

Status Boundary Enforcement and the Categorization of Black-White Biracials

By: Arnold K. Ho, Jim Sidanius, Amy J.C. Cuddy and Mahzarin R. Banaji

Individuals who qualify equally for membership in more than one racial group are not judged as belonging equally to both of their parent groups, but instead are seen as belonging more to their lower status parent group. Why? The present paper begins to establish the... View Details

Keywords: Hypodescent; Social Dominance Orientation; Intergroup Threat; Hierarchy Maintenance; Equality and Inequality; Race; Rank and Position; Attitudes; Identity