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A New Paradigm of Work Organization and Co-ordination? Lessons from Japanese Experience

A New Paradigm of Work Organization and Co-ordination? Lessons from Japanese Experience

Chapter:
(p.267) 7 A New Paradigm of Work Organization and Co-ordination? Lessons from Japanese Experience
Source:
The Golden Age of Capitalism
Author(s):
Masahiko Aoki
Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780198287414.003.0007

This chapter concludes the volume and addresses the question of how Japan has been able to maintain a rate of growth of labour productivity consistently at the forefront of the OECD countries. It examines the organization of production in the Japanese firm and contrasts it with the organization of production in the Western firm. It explains that superior flexibility, the ability to respond to local ‘shocks’, such as interruption in the supply of parts or the breakdown of a machine, the results from the larger scope of workers to exercise initiative. The chapter states that this is the key to the Japanese success story.

Keywords:   Japan, labour productivity, organization of production, flexibility, local shocks

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