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Promotions in the Internal and External Labor Market: Evidence from Professional Football Coaching Careers

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  • C. Edward Fee

    (Michigan State University)

Abstract

We study job movements of professional football coaches. The likelihood of an external promotion is strongly related to measures of individual performance and only weakly related to team performance. In contrast, the likelihood of an internal promotion is not related to individual performance. This difference arises from the process governing internal job openings, since openings are negatively related to performance. Conditional on the presence of an opening, promotion likelihood is increasing in individual performance. Relationships matter, as coaches are often hired and fired as a group. These findings have implications for several issues related to incentives and organizational design.

Suggested Citation

  • C. Edward Fee, 2006. "Promotions in the Internal and External Labor Market: Evidence from Professional Football Coaching Careers," The Journal of Business, University of Chicago Press, vol. 79(2), pages 821-850, March.
    • Handle: RePEc:ucp:jnlbus:v:79:y:2006:i:2:p:821-850
    DOI: 10.1086/499139
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    Cited by:

    1. Foreman, Jeremy J. & Soebbing, Brian P. & Seifried, Chad S., 2019. "The impact of deviance on head coach dismissals and implications of a personal conduct policy," Sport Management Review, Elsevier, vol. 22(4), pages 491-501.
    2. Solow, Benjamin L. & Solow, John L. & Walker, Todd B., 2011. "Moving on up: The Rooney rule and minority hiring in the NFL," Labour Economics, Elsevier, vol. 18(3), pages 332-337, June.
    3. Joshua D. Pitts & Brent Evans, 2019. "Manager impacts on worker performance in American football: Do offensive coordinators impact quarterback performance in the National Football League?," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 40(1), pages 105-118, January.
    4. Néstor Gandelman, 2008. "Mobility Among Employers and Assortative Matching," Journal of Sports Economics, , vol. 9(4), pages 351-370, August.
    5. Alexander K. Koch & Eloïc Peyrache, 2011. "Aligning Ambition and Incentives," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 27(3), pages 655-688.
    6. Brian L. Goff & Robert D. Tollison, 2009. "Racial Integration of Coaching," Journal of Sports Economics, , vol. 10(2), pages 127-140, April.
    7. Janice Fanning Madden & Matthew Ruther, 2011. "Has the NFL’s Rooney Rule Efforts ‘‘Leveled the Field’’ for African American Head Coach Candidates?," Journal of Sports Economics, , vol. 12(2), pages 127-142, April.
    8. Joshua D. Pitts & Brent A. Evans, 2020. "Defensive Coordinator and Head Coach Effects on Team Defensive Performance in the National Football League," Journal of Sports Economics, , vol. 21(5), pages 493-524, June.
    9. Salaga, Steven & Juravich, Matthew, 2020. "National Football League head coach race, performance, retention, and dismissal," Sport Management Review, Elsevier, vol. 23(5), pages 978-991.
    10. Janice Fanning Madden & Matthew Ruther, 2009. "Reply to: Differences in the Success of NFL Coaches by Race," Journal of Sports Economics, , vol. 10(5), pages 543-550, October.
    11. W. David Allen & Clint Chadwick, 2012. "Performance, Expectations, and Managerial Dismissal," Journal of Sports Economics, , vol. 13(4), pages 337-363, August.

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