The Research On Modular Organization Based On Network Division

The production organization has always been in the continuous evolutionary process since it appeared. This paper overviews the course of dominant production organizations in the capitalism countries with the perspective of social productivity. Based on the summary of the old evolutionary theory towards to production organization, it demonstrates theoretical ideas on the evolution of production organization researched from the evolution of division of labor and market size. Specifically, the division of labor develops with the expanding of market size; the production organization varies with the external uncertainty because the strengthening degree of uncertainty. In order to cope with changes of external uncertainty, the network division resulted from the evolution of division makes the production organization to develop with characteristics of network. This paper constructs a model to argue the operational efficiency of modular organization and then uses a case about the development of specific modular organization to prove its high efficiency.Chapter 1 is introduction. Chapter 2 analyzes the evolution fact about dominant production organization with the perspective of the transformation of production type resulted from the productivity. Factory of Machinery industry has substituted the handcraft labor due to the contradiction between market demand and the handcraft- labor .Ford-type and Tailor-type promoted the production organization to develop with large scale and many departments. Toyota-production-style made the organization to be networked. The modular organization became the dominant form with the occurrence of modular production. Chapter 3 analyzes the cause of evolution about the dominant production organization theoretically and argues that the appearance of modular organization is resulted from the fact that networked production organization varies with the external uncertainty based on the summarization about the division theory of Smith, Marx and Young. Chapter 4 positively studies on the operational mechanism and efficiency of modular organization with a model and then proves with a case about China's EI industry. This paper is finished with the enlightened conclusions on the modular organization for China's firms development.