Replication data for: What Drives Differences in Management Practices?

Principal Investigator(s): View help for Principal Investigator(s) Nicholas Bloom; Erik Brynjolfsson; Lucia Foster; Ron Jarmin; Megha Patnaik; Itay Saporta-Eksten; John Van Reenen

Version: View help for Version V1

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Project Citation:

Bloom, Nicholas, Brynjolfsson, Erik, Foster, Lucia, Jarmin, Ron, Patnaik, Megha, Saporta-Eksten, Itay, and Van Reenen, John. Replication data for: What Drives Differences in Management Practices? Nashville, TN: American Economic Association [publisher], 2019. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E113183V1

Project Description

Summary: Partnering with the US Census Bureau, we implement a new survey of "structured" management practices in two waves of 35,000 manufacturing plants in 2010 and 2015. We find an enormous dispersion of management practices across plants, with 40 percent of this variation across plants within the same firm. Management practices account for more than 20 percent of the variation in productivity, a similar, or greater, percentage as that accounted for by R&D, ICT, or human capital. We find evidence of two key drivers to improve management. The business environment, as measured by right-to-work laws, boosts incentive management practices. Learning spillovers, as measured by the arrival of large "Million Dollar Plants" in the country, increase the management scores of incumbents.

Scope of Project

JEL Classification:
      D22 Firm Behavior: Empirical Analysis
      D24 Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
      L25 Firm Performance: Size, Diversification, and Scope
      L60 Industry Studies: Manufacturing: General
      M11 Production Management
      M50 Personnel Economics: General

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Published Versions

V1 [2019-10-12]

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