New Ways for Lean Management
A Principal Agent Model with Respect to Human Capital
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As the key to the achievements of effective managers is not their personality but their way of action, the structural necessity to formalize the fundamental characteristics of the mode of doing effective business becomes obvious. This defiance can be tackled with an approach that emerged within the last two decades, representing a holistic philosophy with the potential of integrating many particulate concepts and instruments: Lean Management. The Lean Concept itself, however, was unable to answer the question of optimal personnel structure and the problem of loss of human capital within reorga...
As the key to the achievements of effective managers is not their personality but their way of action, the structural necessity to formalize the fundamental characteristics of the mode of doing effective business becomes obvious. This defiance can be tackled with an approach that emerged within the last two decades, representing a holistic philosophy with the potential of integrating many particulate concepts and instruments: Lean Management. The Lean Concept itself, however, was unable to answer the question of optimal personnel structure and the problem of loss of human capital within reorganization efforts. Demonstrating that the concept of Lean indeed is a flexible model, it is therefore possible to apply incentive theory to analyze this problem incorporating Lean Principles as well. The iteration model set up in this book therefore included, inter alia, the principle of holism since it covers the entire corporation within the endeavour of business process reorganization.
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