What is Holonic Enterprise Model? Definition and meaning

Holonic Enterprise Model

Definition: Holonic Enterprise Model is a framework for managing complex supply chains and manufacturing operations, in which companies and their components—from global suppliers to individual machines on a production line—operate as autonomous yet cooperative units (holons). The term "holon" comes from Arthur Koestler, who proposed that everything in a system is both a "whole" in itself and a "part" of a greater whole—just like a business division in a multinational company or a robotic arm in a factory.
In this model, decision-making is distributed rather than centralized, meaning each holon can optimize its own efficiency while remaining part of a larger system.

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