This study focuses on two subjects in the light of contingency perspective. First, it examines a relationship between technical complexity and organizational structure, i.e interdependence and coordination modes among members in production unit.
Second, it examines a relationship of environment, differentiation and integration between production unit and R ＆ D unit, and organizational performances in Korean manufacturing companies. Lawrence ＆ Lorsch (1967) studied the above subject and suggested a significant relationship. In Korean, Kim (1976) examined a relationship of technological innovation, differentiation between initiating unit and implementing unit, and integration in electronics industry. But he didn't find significant relationships.
Four hypotheses were delineated to the above subjects.
Data were gathered from 43 overall manufacturing companies in Korean of which there are 32 dual mode companies.
Research results show that in production unit there is a significant relationship of technical complexity, interdependence among members, and the degree of nonprogrammed coordination activities. But there is not a significant relationship between technical complexity and programmed coordination activity.
For the second subject, there is not a significant relationship, but the results show that there is a meaningful direction of relationships among variables. Environmental uncertainty has no effects on the differentiation ＆ integration between production unit and R ＆ D unit. In the organizations with high technology ＆ high environmental uncertainty, and low technology ＆ low environmental uncertainty, there are examined the relationships suggested above as a further analysis. The results of the above analysis show that there are not significant relationships. But the components of environment - customers, suppliers, competitors, social political env., technological env.-have relationships with the components of differentiation - differentiation of centralization, formalization, and complexity.
Korean manufacturing companies are still not evolved to the degree of companies of developed countries. In Korean, R ＆ D unit of a manufacturing company is not a initiating unit of technological innovations.
