An empirical study on the patterns of organizational Structure of Japanese affiliates in Sri Lanka

Abstract

The Loosely Structured Organization (LSO) is presently regarded as a new management paradigm, which determines the structure and functions of organizations today. LSO evolved as a modern organizational form perfectly matching the multi-product, smallvolume lean production system brought about by new technology in latter part of 1980s. LSO is currently considered as the dominant organizational form among Japanese enterprises and increasingly diffusing among Japanese affiliates even in abroad. This paper, which was based on an empirical research study focuses on clarifying the patterns of organization structure of Japanese affiliates in SriLanka, with special reference to the paradigm of LSO. The research framework conceptualized structural patterns on the basis of a typology consisting of two main components: work and management organizations of a firm. The study, which was carried out among five Japanese affiliates operating in SriLanka, has found the existence of LSO in those firms. The findings suggest that the LSO is diffusing across national borders and the Japanese style of organizational form has universal characteristics.