IDEAS home Printed from https://ideas.repec.org/p/nsr/escoed/escoe-dp-2022-15.html
   My bibliography  Save this paper

Channels of Managerial Capital Accumulation - A Framework and New Evidence from UK Microdata

Author

Listed:
  • Anna Ardanaz-Badia
  • Josh Martin
  • Mika Morgan
  • Jakob Scheebacher

Abstract

Organisational capital is usually estimated indirectly, from workforce data or as a residual from balance sheets. In this paper, we focus on a particular subset of organisational capital: managerial capital. We propose a comprehensive framework for measuring the contribution of different channels of managerial capital accumulation, investigate how to measure them in UK microdata sources, and highlight the trade-offs involved in the available choices. We then use novel evidence on the distribution of management scores in Great Britain from the Management and Expectations Survey (MES) to empirically assess the relative importance of these different accumulation channels. Our analysis provides a user guide for other researchers and new facts about managerial capital in Great Britain. We find high correlations between the different channels of managerial capital accumulation, and distinct bundles of choices across industries and types of firms.

Suggested Citation

  • Anna Ardanaz-Badia & Josh Martin & Mika Morgan & Jakob Scheebacher, 2022. "Channels of Managerial Capital Accumulation - A Framework and New Evidence from UK Microdata," Economic Statistics Centre of Excellence (ESCoE) Discussion Papers ESCoE DP-2022-15, Economic Statistics Centre of Excellence (ESCoE).
    • Handle: RePEc:nsr:escoed:escoe-dp-2022-15
    as

    Download full text from publisher

    File URL: https://escoe-website.s3.amazonaws.com/wp-content/uploads/2022/06/01131502/DP-2022-15.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Sandra E. Black & Lisa M. Lynch, 2005. "Measuring Organizational Capital in the New Economy," NBER Chapters, in: Measuring Capital in the New Economy, pages 205-236, National Bureau of Economic Research, Inc.
    2. Haskel, J & Goodridge, P & Wallis, G, 2014. "Estimating UK investment in intangible assets and Intellectual Property Rights," Working Papers 13168, Imperial College, London, Imperial College Business School.
    3. Martin, Josh, 2019. "Measuring the Other Half: New Measures of Intangible Investment from the ONS," National Institute Economic Review, National Institute of Economic and Social Research, vol. 249, pages 17-29, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Toma Lankauskiene, 2021. "Labour Productivity Growth Determinants in the Manufacturing Sector in the Baltic States," ConScienS Conference Proceedings 025tl, Research Association for Interdisciplinary Studies.
    2. Wei Chi & Richard B. Freeman & Morris M. Kleiner, 2011. "Adoption and Termination of Employee Involvement Programs," LABOUR, CEIS, vol. 25(1), pages 45-62, March.
    3. Peter Goodridge & Jonathan Haskel, 2023. "Accounting for the slowdown in UK innovation and productivity," Economica, London School of Economics and Political Science, vol. 90(359), pages 780-812, July.
    4. Andrea L. Eisfeldt & Dimitris Papanikolaou, 2013. "Organization Capital and the Cross-Section of Expected Returns," Journal of Finance, American Finance Association, vol. 68(4), pages 1365-1406, August.
    5. McDowell, William C. & Peake, Whitney O. & Coder, LeAnne & Harris, Michael L., 2018. "Building small firm performance through intellectual capital development: Exploring innovation as the “black box”," Journal of Business Research, Elsevier, vol. 88(C), pages 321-327.
    6. Tronconi, Claudia & Vittucci Marzetti, Giuseppe, 2011. "Organization capital and firm performance. Empirical evidence for European firms," Economics Letters, Elsevier, vol. 112(2), pages 141-143, August.
    7. Spyros Arvanitis, 2005. "Computerization, workplace organization, skilled labour and firm productivity: Evidence for the Swiss business sector," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 14(4), pages 225-249.
    8. Wen Chen, 2018. "Cross‐Country Income Differences Revisited: Accounting for the Role of Intangible Capital," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 64(3), pages 626-648, September.
    9. Waseem John, 2019. "Scale Development and Construct Validity of Organizational Capital in Customer Relationship Management Context: A Confirmatory Factor Analysis Approach," Business Perspectives and Research, , vol. 7(1), pages 76-91, January.
    10. Keun Lee & Tsutomu Miyagawa & Shigesaburo Kabe & Junhyup Lee & Hyoungjin Kim & Young Gak Kim, 2009. "Management Practices and Firm Performance in Japanese and Korean Firms," Microeconomics Working Papers 22990, East Asian Bureau of Economic Research.
    11. Coggan, Anthea & Whitten, Stuart M. & Bennett, Jeff, 2010. "Influences of transaction costs in environmental policy," Ecological Economics, Elsevier, vol. 69(9), pages 1777-1784, July.
    12. Charles R. Hulten & Xiaohui Hao, 2008. "What is a Company Really Worth? Intangible Capital and the "Market to Book Value" Puzzle," NBER Working Papers 14548, National Bureau of Economic Research, Inc.
    13. Josh Martin & Rebecca Riley, 2025. "Productivity measurement: Reassessing the production function from micro to macro," Journal of Economic Surveys, Wiley Blackwell, vol. 39(1), pages 246-279, February.
    14. B. Atrostic, 2008. "Measuring U.S. innovative activity: business data at the U.S. Census Bureau," The Journal of Technology Transfer, Springer, vol. 33(2), pages 153-171, April.
    15. William Collier & Francis Green & Young-Bae Kim & John Peirson, 2011. "Education, Training and Economic Performance: Evidence from Establishment Survival Data," Journal of Labor Research, Springer, vol. 32(4), pages 336-361, December.
    16. Fanti, Lucrezia & Guarascio, Dario & Tubiana, Matteo, 2019. "Skill Gap, Mismatch, and the Dynamics of Italian Companies’ Productivity," MPRA Paper 95694, University Library of Munich, Germany.
    17. Vincent Delbecque & Sylvie Le Laidier & Jacques Mairesse & Laurence Nayman, 2011. "L’évaluation des investissements incorporels en France : méthodes et premiers résultats," Économie et Statistique, Programme National Persée, vol. 450(1), pages 3-27.
    18. Xing, Xuejing & Yan, Shan, 2023. "Does organization capital increase firm risk? Evidence from firms with human resource executives☆," Finance Research Letters, Elsevier, vol. 51(C).
    19. Gustavo Crespi & Chiara Criscuolo & Jonathan Haskel, 2006. "Information Technology, Organisational Change and Productivity Growth: Evidence from UK Firms," Working Papers 558, Queen Mary University of London, School of Economics and Finance.
    20. Haskel, Jonathan & Criscuolo, Chiara & ,, 2007. "Information Technology, Organisational Change and Productivity," CEPR Discussion Papers 6105, C.E.P.R. Discussion Papers.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nsr:escoed:escoe-dp-2022-15. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ESCoE Centre Manager (email available below). General contact details of provider: https://edirc.repec.org/data/escoeuk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.