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Job Rotation as a Learning Mechanism

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  • Jaime Ortega

    (Department of Business Administration, Universidad Carlos III de Madrid, 28903 Getafe, Madrid, Spain)

Abstract

This article analyzes the costs and benefits of job rotation as a mechanism with which the firm can learn about the employees' productivities and the profitability of different jobs or activities. I compare job rotation to an assignment policy where employees specialize in one job along their career. The gains from adopting a job rotation policy are larger when there is more prior uncertainty about employees and activities. I argue that this firm learning theory fits the existing evidence on rotation better than alternative explanations based on employee motivation and employee learning.

Suggested Citation

  • Jaime Ortega, 2001. "Job Rotation as a Learning Mechanism," Management Science, INFORMS, vol. 47(10), pages 1361-1370, October.
  • Handle: RePEc:inm:ormnsc:v:47:y:2001:i:10:p:1361-1370
    DOI: 10.1287/mnsc.47.10.1361.10257
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    References listed on IDEAS

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