Aufgrund steigender Kundenansprüche und wachsendem Wettbewerbsdruck sind die Unternehmen gezwungen ihre Wirtschaftlichkeit zu sichern und massive Einsparungen vorzunehmen. Das Personal, als wichtigste Ressource eines Unternehmens, ist ein entscheidender Ansatzpunkt zur Erreichung der...

While alleviating the adverse effects of employees’ pursuit of their subgroups’ goals over organizational goals is important, finding ways to avoid them may be even more important. In this paper, we investigate whether strategic planning can be used to reduce organizational members’...

Using a unique 10-year panel that includes more than 13,300 expected stock market return probability distributions, we find that executives are severely miscalibrated, producing distributions that are too narrow: realized market returns are within the executives' 80% confidence intervals only...

This paper investigates whether managers who fail to exploit regulatory loopholes are vulnerable to replacement. We use the U.S. hospital industry in 1985-1996 as a case study. A 1988 change in Medicare rules widened a pre-existing loophole in the Medicare payment system, presenting hospitals...

What makes a good leader? A good leader is able to coordinate his followers around a credible mission statement, which communicates the future course of action of the organization. In practice, leaders learn about the best course of action for the organization over time. While learning helps...

Many economists are aware that the FOCs for efficiency and monopolization in a partial equilibrium framework are the extremes of the Ramsey (1927)-Boiteux (1956) FOC when the Lagrange multiplier for the budget varies. The object of this note is to formalize the duality between the welfarist and...

We empirically study the use of value-based management systems in listed German firms and examine implications for firms' stock market performance. Using a novel, hand-collected data set covering 1,083 firm years from 2002 to 2008, we find that value-based management systems become increasingly...

This paper develops a contest model of a professional sports league in which clubs maximize a weighted sum of profits and wins (utility maximization). The model analyzes how more win-oriented behavior of certain clubs affects talent investments, competitive balance and club profits. Moreover, in...

This paper develops a contest model of a professional sports league in which clubs maximize a weighted sum of profits and wins (utility maximization). The model analyzes how more win-oriented behavior of certain clubs affects talent investments, competitive balance and club profits. Moreover, in...