Research On Governance Span Of Inter-firm Network Organization

Since 1970s, the phenomenon of cross-border co-operation in enterprises has become more and more common, and the formation of network organization (NO) has been attracted by the theory community and the business community increasingly. With the development of global economic integration and the core competencies of enterprise growing, companies more inclined to compose network whose partners suit their own interests in order to give full play to the entire network and node competitive advantage. However, the span of node tie is seems to become an urgent theoretical issue. From the domestic and foreign literature, this issue is still an outstanding open field.In this paper, the methods of literature analysis and logical reason were used to put forward the concept of NO governance span tentatively in the first time, and used to research NO governance span of constitution elements and influencing factors; On this basis, a mathematical model of NO governance span was constructed by using social network theory; Finally, a typical case with network characteristics were analyzed deeply by using the results of theoretical studies of governance span. And a reasonable explanation for effects of the operation of NO was put.The main conclusions of this paper were drawn as following:First, the network node and the tie between nodes are basic constitution elements of governance span. The size of governance span is closely related to characteristics of the network node and the different ways of tie between nodes.Second, on the basis of summing up and expanding of literature, from three levels of the market, network and enterprise factors, the correlation between various factors and governance span was produced and analyzed in detail. Although the factors of governance span has more than these foregoing, it is sure that governance span changes has produced impact deeply by these factors.Third, standardized model and relational model was constructed from the angles of structure and relationship. Reliable basis for determining the effective governance span and theory support of governing effectively of NO practically was supplied by the building of governance span model.Being a new organizational forms, problems and conflicts were considered in the network from the view of governance span, which was conduced to guide effective operation of inter-firm network organization, raise the enthusiasm of NO by enterprise to join and improve the governance of NO.