Discussion of "Measuring organizational capital"

Ludewig and Sadowski (2009) empirically examine the economic value of organizationalcapital. They use a comprehensive panel data set from the Institute for EmploymentResearch (IAB) that provides standard information about inputs and outputs of theproduction process of German corporate establishments. This data set also includes organizationaldimensions of those establishments, which makes it an interesting source for astudy on organizational capital.The sample that Ludewig and Sadowski (2009) use comprises information about whetherestablishments adopted quality control systems and quality circles, profit or cost centers,and teamwork practices. Moreover, we can determine if the management delegated decision-making power to line workers and whether supply by external vendors increasedor outsourcing took place. Using these organizational...