Organizing Modular Production

Channel:
United States Simons Institute for the Theory of Computing
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68,700
Published on ● Video Link: https://www.youtube.com/watch?v=FaaqqkcIeI4


Duration: 45:11
384 views
3

Bryony Reich (Northwestern)
https://simons.berkeley.edu/talks/modular-organization
The Economics of Networks

We characterize the optimal communication network in a firm with a modular production function, which we model as a network of decisions with a non-overlapping community structure. Optimal communication is characterized by two hierarchies that determine whom each agent receives information from and sends information to. Receiver rank depends only on module cohesion while sender rank also depends on decision-specific values of adaptation. When the hierarchies are the reverse of each other, optimal communication is bottom up in aggregate, and when they are the same, it has a core-periphery structure, in which the core contains the most cohesive modules.



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Tags:
Simons Institute
theoretical computer science
UC Berkeley
Computer Science
Theory of Computation
Theory of Computing
The Economics of Networks
Bryony Reich