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Chapter | The Palgrave Encyclopedia of Strategic Management | 2018

Resource Allocation Theory

by Joseph L. Bower

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Abstract

This article considers the process of resource allocation, whereby an organization determines how best to apportion its factors of production between the various productive activities in which it wishes to engage. It is suggested that none of the academic approaches to date has provided an entirely coherent picture of the process, in part because of the contradictory models of the process that they generate. The article goes on to consider the planning processes that are involved in assessing future projects and the way in which past outcomes feed into the assessment of future projects.

Keywords: Resource Allocation;

Format: Electronic Find at HarvardPurchase

Citation:

Bower, Joseph L. "Resource Allocation Theory." In The Palgrave Encyclopedia of Strategic Management. Continuously updated edition, edited by Mie Augier and David J. Teece. Palgrave Macmillan, 2017. Electronic. (Pre-published, July 2016.)

About the Author

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Joseph L. Bower
Donald K. David Professor of Business Administration, Emeritus

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More from the Author

  • Teaching Note | HBS Case Collection | January 2019 (Revised August 2019)

    JPMorgan Chase: Invested in Detroit (A), (B), and (C)

    Joseph L. Bower

    Teaching Note includes a link to C-case supplemental videos for instructor use during class.

    Citation:

    Bower, Joseph L. "JPMorgan Chase: Invested in Detroit (A), (B), and (C)." Harvard Business School Teaching Note 919-407, January 2019. (Revised August 2019.)  View Details
    CiteView DetailsPurchase Related
  • Article | ICGN Yearbook | 2018

    Rethinking 'Good Governance'

    Lynn S. Paine and Joseph L. Bower

    Citation:

    Paine, Lynn S., and Joseph L. Bower. "Rethinking 'Good Governance'." ICGN Yearbook (2018), 26–27.  View Details
    CiteView Details Read Now Related
  • Case | HBS Case Collection | August 2000 (Revised August 2018)

    The Atchison Corporation (A)

    Joseph L. Bower

    A new general manager uses a profit-center-based system to shake up an old line company. He then faces the task of placating a board member upset by the human consequences. A rewritten version of an earlier case.

    Keywords: Transformation; Profit; Human Resources; Change Management; Management Analysis, Tools, and Techniques; Organizational Design;

    Citation:

    Bower, Joseph L. "The Atchison Corporation (A)." Harvard Business School Case 301-020, August 2000. (Revised August 2018.)  View Details
    CiteView DetailsEducatorsPurchase Related
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