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Do Differences Make a Difference? The Impact of Human Capital Diversity, Experience and Compensation on Firm Performance in Engineering Consulting

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Author Info
Keld Laursen
Volker Mahnke
Per Vejrup-Hansen

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Abstract

The paper investigates the relationship between human capital characteristics and firm performance in engineering consulting. Because general experience, firm-specific human capital and diversity carry specific costs and benefits we hypothesize curvilinear (taking inverted U-shapes) relations to firm performance. We find little effect of general experience and firm-specific human capital, but the findings give some support for the curvilinear relation between performance and human capital diversity.

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Publisher Info
Paper provided by DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies in its series DRUID Working Papers with number 05-04.

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Date of creation: 2005
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Handle: RePEc:aal:abbswp:05-04

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Web page: http://www.druid.dk/

For technical questions regarding this item, or to correct its listing, contact: (Keld Laursen).

Related research
Keywords: Educational diversity; human capital; firm performance;

Find related papers by JEL classification:
C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search, Learning, and Information
M5 - Business Administration and Business Economics; Marketing; Accounting - - Personnel Economics

This paper has been announced in the following NEP Reports:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Ichniowski, Casey & Shaw, Kathryn & Prennushi, Giovanna, 1997. "The Effects of Human Resource Management Practices on Productivity: A Study of Steel Finishing Lines," American Economic Review, American Economic Association, vol. 87(3), pages 291-313, June. [Downloadable!] (restricted)
  2. Jacobsson, Staffan & Oskarsson, Christer, 1995. "Educational statistics as an indicator of technological activity," Research Policy, Elsevier, vol. 24(1), pages 127-136, January. [Downloadable!] (restricted)
  3. Shapiro, Carl & Stiglitz, Joseph E, 1984. "Equilibrium Unemployment as a Worker Discipline Device," American Economic Review, American Economic Association, vol. 74(3), pages 433-44, June. [Downloadable!] (restricted)
  4. S.A. Lippman & R.P. Rumelt, 1982. "Uncertain Imitability: An Analysis of Interfirm Differences in Efficiency under Competition," Bell Journal of Economics, The RAND Corporation, vol. 13(2), pages 418-438, Autumn. [Downloadable!] (restricted)
  5. Milgrom, Paul & Roberts, John, 1995. "Complementarities and fit strategy, structure, and organizational change in manufacturing," Journal of Accounting and Economics, Elsevier, vol. 19(2-3), pages 179-208, April. [Downloadable!] (restricted)
  6. Salop, Joanne & Salop, Steven, 1976. "Self-Selection and Turnover in the Labor Market," The Quarterly Journal of Economics, MIT Press, vol. 90(4), pages 619-27, November. [Downloadable!] (restricted)
  7. Gary S. Becker, 1962. "Investment in Human Capital: A Theoretical Analysis," Journal of Political Economy, University of Chicago Press, vol. 70, pages 9. [Downloadable!] (restricted)
  8. Keld Laursen & Nicolai J. Foss, . "New HRM Practices, Complementarities, and the Impact on Innovation Performance," IVS/CBS Working Papers 00-5, Department of Industrial Economics and Strategy, Copenhagen Business School. [Downloadable!]
  9. Mahoney, Joseph T., 1995. "The management of resources and the resource of management," Journal of Business Research, Elsevier, vol. 33(2), pages 91-101, June. [Downloadable!] (restricted)
  10. Keld Laursen & Volker Mahnke, . "Knowledge strategies, firm types, and complementarity in human-resource practices," IVS/CBS Working Papers 00-8, Department of Industrial Economics and Strategy, Copenhagen Business School. [Downloadable!]
  11. Joanne Salop & Steve Salop, 1976. "Self-selection and turnover in the labor market," Special Studies Papers 80, Board of Governors of the Federal Reserve System (U.S.).
  12. Lazear, Edward P, 1991. "Labor Economics and the Psychology of Organizations," Journal of Economic Perspectives, American Economic Association, vol. 5(2), pages 89-110, Spring. [Downloadable!] (restricted)
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This page was last updated on 2009-11-27.

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