The influence of organizational context on the managerial turnover–performance relationshi

Revilla, Elena and Rodriguez-Prado, Beatriz and Simón, Cristina (2019): The influence of organizational context on the managerial turnover–performance relationshi. Published in: Ecological Economics No. 59 (13 September 2020): pp. 423-443.

Abstract

This study performs a comprehensive examination of organizational context in the relationship between managerial turnover and organizational performance. Using theoretical frameworks of human and social capital, we focus on the moderating roles of entity size, employment system, industry brand, and location. To test our hypotheses, we worked with the company records of a multinational fashion retail group with more than 4,000 stores grouped into eight different brands and 100,000 employees in more than 31 countries. To estimate the causal contextual effects of the relationship between voluntary managerial turnover and organizational performance, we designed a quasi-experiment using propensity score matching analysis. Our results show that the dysfunctional side of managerial turnover is significant for stores that are large, for stores managed under a primary employment system, for brands operating with higher levels of service orientation, and for countries with more restrictive employment protection legislation. We discuss the implications of these findings for practice and for future research.

• Item Type: MPRA Paper
• Language: English
• Keywords: contextual moderators; managerial turnover; propensity score matching; unit performance
• Subjects: L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior; L - Industrial Organization > L8 - Industry Studies: Services > L81 - Retail and Wholesale Trade ; e-Commerce; M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M1 - Business Administration; M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M1 - Business Administration > M12 - Personnel Management ; Executives; Executive Compensation

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