The impact of managerial quality on organizational performance: evidence from German soccer
In this paper we use a novel panel data set from the German premier soccer league (Bundesliga) as a case to show how variations in managerial compensation impact positively upon organizational (team) success. Using stochastic frontier analysis, we find that a team that hires a better quality coach can expect to achieve a higher league points total by reducing technical inefficiency. However, our results also suggest that the market for head coaches may be allocatively inefficient in that coaches are paid below their marginal revenue products. Copyright © 2008 John Wiley & Sons, Ltd.
Volume (Year): 29 (2008)
Issue (Month): 7 ()
|Contact details of provider:|| Web page: http://www3.interscience.wiley.com/cgi-bin/jhome/7976|
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.:
- Peter Dawson & Stephen Dobson, 2002. "Managerial efficiency and human capital: an application to English association football," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 23(8), pages 471-486.
- David Berri & R. Jewell, 2004. "Wage inequality and firm performance: Professional basketball's natural experiment," Atlantic Economic Journal, International Atlantic Economic Society, vol. 32(2), pages 130-139, June.
- Peter Dawson & Stephen Dobson & Bill Gerrard, 2000. "Stochastic Frontiers and the Temporal Structure of Managerial Efficiency in English Soccer," Journal of Sports Economics, , vol. 1(4), pages 341-362, November.
- Dawson, Peter & Dobson, Stephen & Gerrard, Bill, 2000. "Estimating Coaching Efficiency in Professional Team Sports: Evidence from English Association Football," Scottish Journal of Political Economy, Scottish Economic Society, vol. 47(4), pages 399-421, September.
- Kraft, Kornelius & Niederprum, Antonia, 1999. "Determinants of management compensation with risk-averse agents and dispersed ownership of the firm," Journal of Economic Behavior & Organization, Elsevier, vol. 40(1), pages 17-27, September.
- Koning, R.H., 2000. "An econometric evaluation of the firing of a coach on team performance," Research Report 00F40, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
- Stefan Szymanski, 2000. "A Market Test for Discrimination in the English Professional Soccer Leagues," Journal of Political Economy, University of Chicago Press, vol. 108(3), pages 590-603, June.
- Leo Kahane, 2005. "Production Efficiency and Discriminatory Hiring Practices in the National Hockey League: A Stochastic Frontier Approach," Review of Industrial Organization, Springer, vol. 27(1), pages 47-71, 08.
- Lawrence M. Kahn, 2000. "The Sports Business as a Labor Market Laboratory," Journal of Economic Perspectives, American Economic Association, vol. 14(3), pages 75-94, Summer.
- Stephen Hall & Stefan Szymanski & Andrew S. Zimbalist, 2002. "Testing the Causality between Team Performance and Payroll: The Cases of Major League Baseball and English Soccer," Journal of Sports Economics, , vol. 3(2), pages 149-168, May.
- Richard A. Hofler & James E. Payne, 2006. "Efficiency in the National Basketball Association: a stochastic frontier approach with panel data," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 27(4), pages 279-285.
- Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-32.
When requesting a correction, please mention this item's handle: RePEc:wly:mgtdec:v:29:y:2008:i:7:p:593-600. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing)or (Christopher F. Baum)
If references are entirely missing, you can add them using this form.