Organizations: Human Resources
47 Results
- 20 Nov 2012
- Working Papers
Pay Harmony: Peer Comparison and Executive Compensation
This paper demonstrates how horizontal wage comparisons within firms and concerns for "pay harmony" affect firm policies in setting pay for executives. Using a rich dataset of pay practices for the senior-most executives within divisions, Gartenberg and Wulf ask whether horizontal comparisons between managers in similar jobs affect pay. The authors also evaluate evidence in support of a tradeoff between pay harmony and performance pay. Findings are consistent with the presence of peer effects in influencing pay policies for executives inside firms. These results contribute to the ongoing policy debate on the consequences of transparency and mandatory information disclosure and potential ratchet-effects in executive pay. For practitioners involved in designing the structure of executive compensation and pay disclosure policies for firms -- including compensation committee directors, senior human resource executives, and compensation consultants -- it is important to recognize the tradeoff between the incentive effects of performance-based pay and costs of peer comparison that arise from unequal pay when designing executive wage contracts. The research also raises questions on the costs of pay disclosure and on labor markets more generally. Read More
- 11 Jul 2011
- Research & Ideas
Non-competes Push Talent Away
- 04 Nov 2010
- What Do YOU Think?
Why Do We Chase Stars?
- 14 Oct 2010
- Working Papers
Reversing the Queue: Performance, Legitimacy, and Minority Hiring
While there has been a steady rise in the number of black executives in corporate America, the fact remains that white males have a persistent advantage in terms of access to managerial positions. This paper sets out to find out how a company's performance influences the hiring of minorities into management positions, and whether the presence of minorities in senior management positions affects the racial composition of the subordinate management team. Research, which focused on the corporate structure of the National Football League, was conducted by Harvard Business School doctoral candidate Andrew Hill and professor David Thomas. Read More
- 26 May 2010
- Working Papers
Unraveling Results from Comparable Demand and Supply: An Experimental Investigation
In many professional labor markets, most entry-level hires begin work at around the same time: for example, soon after graduating from college or graduate or professional school. Despite a common start time, offers can be made and contracts can be signed at any time prior to the start of employment, sometimes well over a year before employment will begin. "Unraveling" happens in markets in which competition for the elite firms and workers is fierce, but the quality of workers may not be reliably revealed until after a good deal of hiring has already been completed. Thus unraveling is sometimes a cause of market failure, particularly when contracts come to be determined before critical information is available. In this paper Muriel Niederle of Stanford, Alvin E. Roth of HBS, and M. Utku Ünver of Boston College consider conditions related to supply and demand that tend to facilitate or mitigate unraveling. Read More
- 07 Oct 2009
- Working Papers
Specific Knowledge and Divisional Performance Measurement
Performance measurement is one of the critical factors that determine how individuals in an organization behave. It includes subjective as well as objective assessments of the performance of both individuals and subunits of an organization such as divisions or departments. Besides the choice of the performance measures themselves, performance evaluation involves the process of attaching value weights to the different measures to represent the importance of achievement on each dimension. This paper examines five common divisional performance measurement methods: cost centers, revenue centers, profit centers, investment centers, and expense centers. The authors furnish the outlines of a theory that attempts to explain when each of these five methods is likely to be the most efficient. Read More
- 30 Jul 2009
- Working Papers
Fluid Teams and Fluid Tasks: The Impact of Team Familiarity and Variation in Experience
In the context of team performance, common wisdom suggests that performance is maximized when individuals complete the same work with the same people. Although repetition is valuable, at least up to a point, in many settings such as consulting, product development, and software services organizations consist largely of fluid teams executing projects for different customers. In fluid teams, members bring their varied experience sets together and attempt to generate innovative output before the team is disassembled and its individual members move on to new projects. Using the empirical setting of Wipro Technologies, a leading firm in the Indian software services industry, this study examines the potential positive and negative consequences of variation in team member experience as well as how fluid teams may capture the benefits of variation while mitigating the coordination costs it creates. Read More
- 06 Jul 2009
- Research & Ideas
Conducting Layoffs: ’Necessary Evils’ at Work
"The core challenge for everyone who performs necessary evils comes from having to do two seemingly contradictory things at once: be compassionate and be direct," say Joshua D. Margolis of Harvard Business School and Andrew L. Molinsky of Brandeis University International Business School. Their research sheds light on best practices—typically overlooked—for the well-being of those who carry out these emotionally difficult tasks. Q&A Read More
- 11 Feb 2009
- Working Papers
Goals Gone Wild: The Systematic Side Effects of Over-Prescribing Goal Setting
For decades, goal setting has been promoted as a halcyon pill for improving employee motivation and performance in organizations. Advocates of goal setting argue that for goals to be successful, they should be specific and challenging, and countless studies find that specific, challenging goals motivate performance far better than "do your best" exhortations. The authors of this article, however, argue that it is often these same characteristics of goals that cause them to "go wild." Read More
- 12 Jan 2009
- Research & Ideas
The Value of a ‘Portable’ Career
Can you predict whether star performers will replicate their success in a new environment? HBS professor Boris Groysberg and colleagues ask this question of professional football teams, and the results offer valuable lessons for star performers and hiring executives of business firms, too. Q&A with Groysberg, Lex Sant, and Robin Abrahams. Read More
- 22 Oct 2008
- Working Papers
Variation in Experience and Team Familiarity: Addressing the Knowledge Acquisition-Application Problem
Team familiarity helps team members successfully locate knowledge within a group, share the knowledge they possess, and respond to the knowledge of others. While team familiarity may help all teams to better coordinate their actions, it may play a particularly important role for teams with individuals looking to apply knowledge from their varied experience. This possibility leads to the question that provides the foundation for this paper: Does team familiarity moderate the relationship between variation in experience and performance? Prior research attempting to link variation in experience and performance has found effects ranging from positive to neutral to negative. Huckman and Staats explain these differential results by drawing on related work from learning, knowledge management, and social networking. Read More
- 29 Sep 2008
- Research & Ideas
How Economics May Lead to Better Football Games
When economists watch football games they see more than flying pigskin and stadiums overflowing with fans. In the case of U.S. college football, Harvard Business School professor Alvin E. Roth along with Guillaume R. Fréchette and M. Utku Ünver studied the timing of team selection for championship bowls. What they found: Good teams are much better matched up than they used to be, and there are implications beyond sports. Q&A with Al Roth. Read More
- 17 Jul 2008
- Working Papers
A Replication Study of Alan Blinder’s “How Many U.S. Jobs Might Be Offshorable?”
The movement of business activity from developed economies to developing economies—commonly called offshoring—has become the focus of heated debates. Behind these debates lies a pivotal question of scale: How much business activity and how many jobs are at stake? Official statistics are nearly silent, and private-sector researchers vary widely in their estimates of the number of U.S. jobs that have moved offshore, will move offshore, or could move offshore. In an effort to address this gap in prior literature, Princeton economist Alan Blinder released an innovative working paper in 2007 in which he personally reviewed more than 800 occupations in the United States, assessed the "offshorability" of each, and used the evaluations to estimate the total number of U.S. jobs that might be offshorable. Here, HBS research associate Troy Smith and Professor Jan W. Rivkin describe an online exercise that allowed 152 teams of HBS MBA students, collectively, to recreate Blinder's study and to develop insights about the future of offshoring. Read More
- 16 Jul 2008
- Op-Ed
What Should Employers Do about Health Care?
- 23 Apr 2007
- Research & Ideas
Are Great Teams Less Productive?
While studying teamwork, Harvard Business School professor Amy Edmondson chanced upon a seeming paradox: Well-led teams appeared to make more mistakes than average teams. Could this be true? As it turned out, good teams, which value communication, report more errors. In a recent research paper Edmondson and doctoral student Sara Singer explore this and other hidden barriers to organizational learning. Read More
- 18 Dec 2006
- Executive Education
Grooming Next-Generation Leaders
- 08 Dec 2006
- Working Papers
When Learning and Performance are at Odds: Confronting the Tension
While most people agree that learning leads to improved performance, there are several ways in which learning and performance in organizations can be at odds. First, when organizations take on a new learning challenge, performance often suffers in the short term, because new behaviors or practices are not yet highly skilled. Second, by revealing and analyzing their failures and mistakes—a critical aspect of learning—individuals or work groups may appear to be performing less well than they would otherwise. This paper reviews research that describes the challenges of learning from failure in organizations, and argues that these challenges can be at least partly addressed by leadership that creates a climate of psychological safety and that promotes inquiry. Read More
- 20 Mar 2006
- Research & Ideas
Do I Dare Say Something?
Are you afraid to speak up at work? The amount of fear in the modern workplace is just one surprising finding from recent research done by HBS professor Amy Edmondson and her colleague, Professor James Detert from Penn State. Read More
- 27 Feb 2006
- Research & Ideas
Take Responsibility for Rising Stars
- 31 Oct 2005
- Research & Ideas
Tuning Jobs to Fit Your Company
- 10 Jan 2005
- Research & Ideas
The Knowledge Coach
- 27 Sep 2004
- Research & Ideas
IBM Finds Profit in Diversity
- 21 Jun 2004
- Research & Ideas
Racial Diversity Pays Off
- 16 Sep 2002
- Research & Ideas
The Irrational Quest for Charismatic CEOs
Companies reflexively look to charismatic CEOs to save them, and that's a bad idea, says HBS professor Rakesh Khurana. In this excerpt from his new book and in an e-mail interview with HBS Working Knowledge, he explains how the CEO cult arose. Read More
- 10 Sep 2001
- Research & Ideas
Do You Have Change Fatigue?
- 29 May 2001
- Research & Ideas
Race Does Matter in Mentoring
- 02 May 2000
- Research & Ideas
Leading Professional Service Firms
Firms in the $80 billion professional services industry all face the same fundamental challenge: aligning their most valuable assets—the talents of their employees—with the strategy and organization of the firm. In this interview, HBS Professor Jay Lorsch, chair of the Executive Education program Leading Professional Service Firms, discusses the role these firms play in the world's economy and the keys to their success. Read More