Analytic models of resource allocation in hierarchical multi-level systems☆

Abstract Most analytic models of resource allocation do not consider the structure of the organization as a factor in the decision process, i.e. they assume a monolithic decision making entity. This paper surveys in a critical fashion those economic and management science models that explicitly reflect organization structure in the model structure. The theoretical and practical advantages and limitations of each model type are indicated, and developmental trends are noted and related to research requirements in the area of resource allocation in hierarchical multi-level systems.

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