The Cross-Functional Conflict and Coordination Problems of the EPD Division of Allentown Materials Corporation

Allentown Materials's EPD department has serious problems regarding cross-functional contradiction and coordination. These problems reduce the performance of divisions in new product development, service, morale and decision-making. Some of the reasons for these problems may be due to a decline in market conditions and poor performance of the department, but there seems to be a fundamental organization problem. The EPA market is changing due to the decline in government military spending. As a result, sales are increasing in the computer, telecommunications, and consumer electronics markets that require rapid product development rather than competitive prices and superior service.

Although substantive problems relating to the division of ownership (shareholder) and control (agent) have not yet been resolved, it is difficult to control the corporate form of decentralized ownership of such dispute and such dispute Complete and suboptimal rules are still most popular. Formal Governance Mechanism Diffusion of existing mechanisms to deal with government agency issues in corporate governance is a pathway dependency of the evolution of internal and external monitoring mechanisms in corporate governance and agencies aimed at addressing corporate governance problem

The agency theory (Jensen and Meckling (1976)) is still the major theory of governance conflict between shareholders and creditors. Many literatures are trying to explain the nature of government conflict in corporate governance and possible ways to solve such conflicts. However, existing theoretical and legal frameworks can not fully solve the core institutional conflict arising from the separation of ownership (shareholder) and control (manager agent). The cost of trying to monitor the agent is inevitable and the transaction cost is high. Literature ignores the unprecedented effective solution provided by block chain technology for government agency issues in corporate governance.

At the enterprise level, you can overcome problems such as division of labor, adjustment, quality control. They also provide alternatives to the labor market pricing mechanism. With this threshold, when considering "transaction costs" to find and manage these suppliers, it is always better to hire a person than to ask outsiders to complete the necessary work. Will be higher. Advantage is often the most dominant, noisy, or politically well-versed candidate, not the most competent candidate. Bottlenecks and single point of failure are important functions of the hierarchy. Politics, integration pressure, group thinking, and various prejudices compromise effective management and decision-making