2020
DOI: 10.1086/705375
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The Impact of Management Practices on Employee Productivity: A Field Experiment with Airline Captains

Abstract: Increasing evidence indicates the importance of management in determining firms' productivity. Yet, causal evidence regarding the effectiveness of management practices is scarce, especially for high-skilled workers in the developed world. In an eight-month field experiment measuring the productivity of captains in the commercial aviation sector, we test four distinct management practices: (i) performance monitoring; (ii) performance feedback; (iii) target setting; and (iv) prosocial incentives. We find that th… Show more

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Cited by 108 publications
(63 citation statements)
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References 77 publications
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“…These results are in line with the recent literature on the importance of managers to explain worker's productivity (Lazear et al, 2015) and on the effectiveness of management practices (Gosnell et al, 2019). Moreover, they highlight the multiple effects of manager's training on the productivity of the firm.…”
Section: Discussionsupporting
confidence: 90%
“…These results are in line with the recent literature on the importance of managers to explain worker's productivity (Lazear et al, 2015) and on the effectiveness of management practices (Gosnell et al, 2019). Moreover, they highlight the multiple effects of manager's training on the productivity of the firm.…”
Section: Discussionsupporting
confidence: 90%
“…Our work relates to two distinct bodies of literature. First, the results speak to a literature in organizational and managerial economics about management heterogeneity (Bertrand and Schoar, 2003;Ellison and Holden, 2013;Bandiera, Guiso, Prat, and Sadun, 2015;Bandiera, Hansen, Prat, and Sadun, 2017;Gosnell, List, and Metcalfe, 2019). This litera-ture distinguishes two prominent sources of heterogeneity in management: differences in the traits and characteristics of managers; and differences in management style at the interplay between manager and organization.…”
Section: A Novel Matching Experimentsmentioning
confidence: 80%
“…In the workplace, digital monitoring technologies reduce the cost of tracking individual productivity and can help to personalize performance feedback (Staats, Dai, Hofmann, and Milkman 2017). Effective feedback provision to workers is important to enhance performance, especially in work environments with no pay-for-performance scheme in place (Gosnell, List, andMetcalfe 2020, Blader, Gartenberg, andPrat 2020). Earlier research has shown that management practices matter for productivity (Bloom and van Reenen 2007, Bloom, Eifert, Mahajan, McKenzie, and Roberts 2013, Syverson 2011.…”
Section: Worker Behaviormentioning
confidence: 99%
“…Next to contributing to the empirical literature on optimal feedback design in operations management, our findings also address the broader societal challenge of how to combat unsustainable energy consumption practices. While there has been much progress in our understanding of non-financial incentives in residential energy consumption, research on how these insights generalize to firms is scant (Gerarden, Newell, and Stavins 2017, Gosnell, List, and Metcalfe 2020, Nilekani 2018). 5 Our work aims to partly fill this gap and should be viewed as part of the emerging literature that looks at the workplace for evidence on the effect of non-financial incentives on conservation efforts (Gosnell, List, and Metcalfe 2020).…”
Section: Related Literaturementioning
confidence: 99%
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