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A social network analysis of managerial migrations: the case of large companies in the UK

A social network analysis of managerial migrations: the case of large companies in the UK

Arrieta Paredes, Mary-Paz and Cronin, Bruce (2014) A social network analysis of managerial migrations: the case of large companies in the UK. In: Russ, Meir, (ed.) Value Creation, Reporting, and Signaling for Human Capital and Human Assets. Building the Foundation for a Multi-Disciplinary, Multi-Level Theory. Palgrave Macmillan US, New York, USA / Basingstoke, UK, pp. 143-178. ISBN 978-1-349-50107-6 (doi:10.1057/9781137472069_6)

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Abstract

The migration of an executive manager from one company to another involves not only the recruitment of a capability set but also the transfer of organizational knowledge. In order to account for a range of dependencies among companies in such migrations, we utilize exponential random graph models to examine executive migrations among large UK companies in a cohort observed in 2006 and 2011. We find executive management migrations related mainly to tenure length, residual income added, particular industrial classifications, company value, cost-benefit per employee and operating revenue to cost per employee at the company of origin. We conclude that company value of the originating firm is used as a heuristic proxy of the value adding capabilities of managers, which reflects an underlying social selection mechanism.

Item Type: Book Section
Uncontrolled Keywords: managerial performance, company value, managerial migration, positive externalities, capabilities transfer, exponential random graph
Subjects: H Social Sciences > HD Industries. Land use. Labor
H Social Sciences > HF Commerce
Faculty / Department / Research Group: Faculty of Business > Centre for Business Network Analysis
Faculty of Business > Department of International Business & Economics
Last Modified: 01 May 2018 08:28
Selected for GREAT 2016: None
Selected for GREAT 2017: GREAT a
Selected for GREAT 2018: GREAT a
URI: http://gala.gre.ac.uk/id/eprint/11344

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