The Impact of Middle Manager Training on Productivity: A Test on Italian Companies

Abstract

This paper presents panel evidence on the productivity effects of middle managers’ off‐the‐job formal training in Italy. It is based on a rich and reliable panel dataset covering all sectors of the Italian economy over the period 2006–2011. We employ panel data techniques and self‐selection models to show that off‐the‐job formal training for middle management has a significant nonlinear exogenous effect on total factor productivity. Moreover, results indicate that middle managers’ off‐the‐job formal training is more effective in larger firms and that different training methods have heterogeneous effects on productivity.

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