Varied Frames of Corporate Cognition and Self‐Governance

Masahiko Aoki

in Corporations in Evolving Diversity

Published in print March 2010 | ISBN: 9780199218530
Published online May 2010 | e-ISBN: 9780191711510 | DOI:

Series: Clarendon Lectures in Management Studies

Varied Frames of Corporate Cognition and Self‐Governance

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This chapter is concerned with the organizational architecture of business corporations as a system in which cognitions are systematically distributed among the management and the workers, while the investors supply cognitive tools. Specific features of the relationships among them give rise to five generic modes of organizational architecture. It is shown that, for each mode of organizational architecture, there is a particular mode of governance that fits. It is characterized as a self-governing agreement among the three parties that satisfies the conditions of organizational sustainability, fairness, and informational economy, which transform business corporations into teams.

Keywords: organizational architecture; corporate governance; team; cognitive assets; essentiality

Chapter.  18848 words.  Illustrated.

Subjects: Business Strategy

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