The Value of Bosses
AbstractHow and by how much do supervisors enhance worker productivity? Using a company-based data set on the productivity of technology-based services workers, supervisor effects are estimated and found to be large. Replacing a boss who is in the lower 10% of boss quality with one who is in the upper 10% of boss quality increases a team’s total output by more than would adding one worker to a nine member team. Workers assigned to better bosses are less likely to leave the firm. A separate normalization implies that the average boss is about 1.75 times as productive as the average worker.
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Bibliographic InfoPaper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 18317.
Date of creation: Aug 2012
Date of revision:
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Other versions of this item:
- J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-08-23 (All new papers)
- NEP-EFF-2012-08-23 (Efficiency & Productivity)
- NEP-HRM-2012-08-23 (Human Capital & Human Resource Management)
- NEP-LAB-2012-08-23 (Labour Economics)
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