A new paper has been published in the Central European Journal of Operations Research, exploring how distributed decision-making can lead to more effective organizational structures. As organizations move away from strict top-down control, the question arises: How can we guide this bottom-up task allocation to ensure efficiency?
The paper introduces a model where task assignment is influenced by agents motivated by either long-term or short-term goals, promoting a bottom-up approach. This model includes an incentive mechanism designed to guide the emergent task allocation, offering rewards that range from group-based to individual-focused.
The analysis shows that when task allocation is driven by short-term objectives and aligned with specific incentive systems, organizational performance improves compared to traditional top-down designs. Additionally, the presence of group-based rewards reduces the need for precise matching of the organizational structure to task characteristics.
For more details, readers can access the full paper in the Central European Journal of Operations Research.