Optimal information transmission in organizations: Search and congestion
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- dc.contributor.author Arenas, Àlexca
- dc.contributor.author Cabrales, Antonioca
- dc.contributor.author Díaz-Guilera, Albertca
- dc.contributor.author Guimerà, Rogerca
- dc.contributor.author Vega, Fernandoca
- dc.contributor.other Universitat Pompeu Fabra. Departament d'Economia i Empresa
- dc.date.accessioned 2017-07-26T10:50:44Z
- dc.date.available 2017-07-26T10:50:44Z
- dc.date.issued 2003-06-01
- dc.date.modified 2017-07-23T02:07:52Z
- dc.description.abstract We propose a stylized model of a problem-solving organization whose internal communication structure is given by a fixed network. Problems arrive randomly anywhere in this network and must find their way to their respective specialized solvers by relying on local information alone. The organization handles multiple problems simultaneously. For this reason, the process may be subject to congestion. We provide a characterization of the threshold of collapse of the network and of the stock of foating problems (or average delay) that prevails below that threshold. We build upon this characterization to address a design problem: the determination of what kind of network architecture optimizes performance for any given problem arrival rate. We conclude that, for low arrival rates, the optimal network is very polarized (i.e. star-like or centralized ), whereas it is largely homogenous (or decentralized ) for high arrival rates. We also show that, if an auxiliary assumption holds, the transition between these two opposite structures is sharp and they are the only ones to ever qualify as optimal.
- dc.format.mimetype application/pdfca
- dc.identifier https://econ-papers.upf.edu/ca/paper.php?id=698
- dc.identifier.uri http://hdl.handle.net/10230/916
- dc.language.iso eng
- dc.relation.ispartofseries Economics and Business Working Papers Series; 698
- dc.rights L'accés als continguts d'aquest document queda condicionat a l'acceptació de les condicions d'ús establertes per la següent llicència Creative Commons
- dc.rights.accessRights info:eu-repo/semantics/openAccess
- dc.rights.uri http://creativecommons.org/licenses/by-nc-nd/3.0/es/
- dc.subject.keyword networks
- dc.subject.keyword information transmission
- dc.subject.keyword search
- dc.subject.keyword organization design
- dc.subject.keyword Microeconomics
- dc.title Optimal information transmission in organizations: Search and congestionca
- dc.type info:eu-repo/semantics/workingPaper