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Exploration and Exploitation in Complex Networks: The Influence of Interpersonal Network Structure
Christina Fang,Jeho Lee(이제호),Melissa A. Schilling,배종훈(토론자) 한국전략경영학회 2006 한국전략경영학회 학술대회발표논문집 Vol.- No.-
We use a simulation study to extend James March’s (1991) classic model of exploration and exploitation by allowing for direct interpersonal learning. As individuals interact with one another in an organization, they evaluate each other’s performance and alter their own solution routines by imitating other superior performers. In this setup, we are interested in whether a subgroup structure, which is popular in many organizations in the form of team or department structures, fosters the diversity of ideas and solution routines in an organization, thereby improving learning outcomes. We find that this structure is, indeed, conducive to learning, as long as there is a small fraction of random, cross-group links. Such semi-isolation allows the organization to learn moderately fast with the highest learning outcome. This numerical result is consistent with empirical research, which shows that small-world network properties enhance the performance of a system.
Innovation, Market Position Change and Mortality among U.S. Automobile Manufacturers, 1885-1981
Tai-Young Kim(김태영),Anand Swaminathan,Albert C y Teo,배종훈(토론자) 한국전략경영학회 2006 한국전략경영학회 학술대회발표논문집 Vol.- No.-
We argue that organizational scope and niche crowding increase the rate of technological innovation, particularly in the case of incremental innovation, while prior experience in another industry lowers the rate of both incremental and radical innovation. Further, we argue that while innovation itself may improve an organization's survival chances, its simultaneous occurrence with other organizational changes such as a change in market position is likely to lower its survival chances. Using data on all American automobile manufacturers from 1885-1981, we find substantial support for our predictions. Our results are consistent with the implications of a cascading model of organizational change with incremental innovations providing survival benefits and radical innovations lowering survival chances when they occur jointly with market position change.