Keywords
organizational structures, profits, cooperation
Abstract
This paper shows how the notion of value of cooperation, a measure of the percentage of a firm’s profits due strictly to the cooperative effects among the goods it sells, can be used to analyze the relative economic advantage afforded by various organizational structures. The value of cooperation is computed from transactions data by solving a regression problem to fit the parameters of the consumer demand function, and then simulating the resulting profit-maximizing dynamic system under various organizational structures. A hierarchical agglomerative clustering algorithm can be applied to reveal the optimal organizational substructure.
Original Publication Citation
Tran, N., Giraud-Carrier, C., Seppi, K. and Warnick, S. "Cooperation-based Clustering for Profit-maximizing Organizational Design." In Proceedings of the International Joint Conference on Neural Networks (IJCNN'6), pp. 3479-3483, Vancouver, B.C.
BYU ScholarsArchive Citation
Giraud-Carrier, Christophe G.; Seppi, Kevin; Tran, Nghia; and Warnick, Sean C., "Cooperation-based Clustering for Profit-maximizing Organizational Design" (2006). Faculty Publications. 982.
https://scholarsarchive.byu.edu/facpub/982
Document Type
Peer-Reviewed Article
Publication Date
2006-07-16
Permanent URL
http://hdl.lib.byu.edu/1877/2600
Publisher
IEEE
Language
English
College
Physical and Mathematical Sciences
Department
Computer Science
Copyright Status
© 2006 IEEE. Personal use of this material is permitted. However, permission to reprint/republish this material for advertising or promotional purposes or for creating new collective works for resale or redistribution to servers or lists, or to reuse any copyrighted component of this work in other works must be obtained from the IEEE.
Copyright Use Information
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