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Organizational Change, Skill Formation, Human Capital Measurement: Evidence From Italian Manufacturing Firms

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  • Gilberto Antonelli
  • Roberto Antonietti
  • Giovanni Guidetti

Abstract

This paper emphasizes the role of labour demand as a determinant of human capital formation. After a section in which the alternative conceptions on the functioning of labour markets are presented and different ways of measuring human capital are compared, an applied analysis is carried out in which we provide a labour-demand-oriented measure of human capital, as defined by the amount of specific skills firms generate through work-based training (WBT) activities. By merging three rich firm-level datasets, we estimate the impact of a set of variables supposed to affect both the propensity to invest in WBT and the intensity of training within the Italian manufacturing industry over the period 2001-2005. Special attention is devoted to the variables characterizing within-firm organization of knowledge, organizational change and the formation of competence pipelines: among them, innovation, internationalization commitment, out-sourcing and new hirings. The estimates show that the effect of innovation on WBT is higher when the introduction of new technologies is supported by organizational innovations. When looking at the nature of WBT, we investigate the different determinants of the firms' propensity to provide both in-house and outside training. We measure training intensity in terms, respectively, of the number of provided training activities, private and total training costs and share of trainees. Copyright © 2010 Blackwell Publishing Ltd.

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  • Gilberto Antonelli & Roberto Antonietti & Giovanni Guidetti, 2010. "Organizational Change, Skill Formation, Human Capital Measurement: Evidence From Italian Manufacturing Firms," Journal of Economic Surveys, Wiley Blackwell, vol. 24(2), pages 206-247, April.
  • Handle: RePEc:bla:jecsur:v:24:y:2010:i:2:p:206-247
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    1. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 31(3), pages 129-137.
    2. Roberto Basile & Anna Giunta & Jeffrey Nugent, 2003. "Foreign Expansion by Italian Manufacturing Firms in the Nineties: an Ordered Probit Analysis," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 23(1), pages 1-24, August.
    3. Trinh Le & John Gibson & Les Oxley, 2003. "Cost- and Income-based Measures of Human Capital," Journal of Economic Surveys, Wiley Blackwell, vol. 17(3), pages 271-307, July.
    4. Roberto Antonietti, 2007. "Opening the "Skill-Biased Technological Change" Black Box: A Look at the Microfoundations of the Technology-Skill Relationship," Economia politica, Società editrice il Mulino, issue 3, pages 451-476.
    5. Baldwin, John R. & Gray, Tara & Johnson, Joanne, 1995. "Technology Use, Training and Plant-specific Knowledge in Manufacturing Establishments," Analytical Studies Branch Research Paper Series 1995086e, Statistics Canada, Analytical Studies Branch.
    6. Heinz Hollenstein & Tobias Stucki, 2008. "The Impact of ICT Usage, Workplace Organisation and Human Capital on the Provision of Apprenticeship Training: A firm-level analysis based on Swiss panel data," KOF Working papers 08-205, KOF Swiss Economic Institute, ETH Zurich.
    7. Giuseppe Folloni & Giorgio Vittadini, 2010. "Human Capital Measurement: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 24(2), pages 248-279, April.
    8. Ludger Woszmann, 2003. "Specifying Human Capital," Journal of Economic Surveys, Wiley Blackwell, vol. 17(3), pages 239-270, July.
    9. Agarwal, Rajshree & Audretsch, David B, 2001. "Does Entry Size Matter? The Impact of the Life Cycle and Technology on Firm Survival," Journal of Industrial Economics, Wiley Blackwell, vol. 49(1), pages 21-43, March.
    10. Baldwin, John R. & Johnson, Joanne, 1995. "Human Capital Development and Innovation: The Case of Training in Small and Medium Sized Firms," Analytical Studies Branch Research Paper Series 1995074e, Statistics Canada, Analytical Studies Branch.
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    Cited by:

    1. Ben-Halima, B. & Chusseau, N. & Hellier, J., 2014. "Skill premia and intergenerational education mobility: The French case," Economics of Education Review, Elsevier, vol. 39(C), pages 50-64.
    2. Huasheng Zhu & Junwei Feng & Maojun Wang & Fan Xu, 2017. "Sustaining Regional Advantages in Manufacturing: Skill Accumulation of Rural–Urban Migrant Workers in the Coastal Area of China," Sustainability, MDPI, Open Access Journal, vol. 9(1), pages 1-23, January.
    3. Roberto Antonietti, 2016. "From outsourcing to productivity, passing through training: microeconometric evidence from Italy," Industry and Innovation, Taylor & Francis Journals, vol. 23(5), pages 407-425, July.
    4. Giulio Pedrini, 2017. "Law and economics of training: a taxonomy of the main legal and institutional tools addressing suboptimal investments in human capital development," European Journal of Law and Economics, Springer, vol. 43(1), pages 83-105, February.
    5. Daria Ciriaci, 2011. "Intangible resources: the relevance of training for European firms’ innovative performance," JRC Working Papers on Corporate R&D and Innovation 2011-06, Joint Research Centre (Seville site).
    6. Russo, Giovanni, 2016. "Job Design and Skill Developments in the Workplace," IZA Discussion Papers 10207, Institute for the Study of Labor (IZA).
    7. Roberto Antonietti & Massimo Loi, 2014. "The demand for foreign languages in Italian manufacturing," Working Papers 57, AlmaLaurea Inter-University Consortium.
    8. Antonioli, Davide & Manzalini, Rocco & Pini, Paolo, 2011. "Innovation, workers skills and industrial relations: Empirical evidence from firm-level Italian data," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 40(3), pages 312-326, May.
    9. Daria Ciriaci, 2017. "Intangible resources: the relevance of training for European firms’ innovative performance," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 34(1), pages 31-54, April.
    10. Daria Ciriaci & Alessandro Muscio, 2011. "University choice, research quality and graduates' employability: Evidence from Italian national survey data," Working Papers 48, AlmaLaurea Inter-University Consortium.
    11. Daria Ciriaci, 2011. "Design and European firms’ innovative performance: A less costly innovation activity for European SMEs?," JRC Working Papers on Corporate R&D and Innovation 2011-08, Joint Research Centre (Seville site).
    12. B. Ben Halima & N. Chusseau & J. Hellier, 2013. "Skill Premia and Intergenerational Skill Transmission: The French Case," Working Papers 285, ECINEQ, Society for the Study of Economic Inequality.
    13. Antonelli, Gilberto & Cappiello, Giuseppe & Pedrini, Giulio, 2013. "The Corporate University in the European utility industries," Utilities Policy, Elsevier, vol. 25(C), pages 33-41.

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